Bitcoin soared beyond $87,000 on Monday, reigniting discussions about its status as “digital gold,” as both Bitcoin and physical gold surged amid ongoing global market uncertainty. Gold reached an all-time high of $3,380 per ounce, marking a 25% increase this year, while Bitcoin rebounded strongly from a recent downturn, reaching its highest point since early April.
More traders are now turning to Bitcoin as a hedge against inflation and currency depreciation, especially amid escalating tariff-related trade tensions and growing concerns over a weakening U.S. dollar. Analysts have observed a decreasing correlation between Bitcoin and U.S. equities, with its price movements now aligning more closely with those of gold.
Fueling this trend is speculation that Donald Trump might replace Federal Reserve Chair Jerome Powell and push for interest rate cuts—moves that could weaken the dollar further and drive investors toward alternative safe-haven assets such as Bitcoin and gold.
