🔹 Bitcoin and gold used to move together as safe-haven assets, but this is no longer true since Donald Trump returned to the White House.
📉 Bitcoin Plummets, Gold Hits New High
Amid the chaotic market, investors are wondering where to hold their money: Bitcoin or gold?
🚀 Gold prices hit a record high on Monday.
📉 Bitcoin has again dropped below $93,000, down 14% from its historical peak on January 20.
Data from #Kaiko shows that the correlation between Bitcoin and gold is almost zero in the past 90 days, meaning these two assets no longer move together as they used to.
⚡ How Does the Trade War Affect Bitcoin?
Since $TRUMP was re-elected, a series of new tariff policies have caused significant market volatility.
📌 On Saturday, Trump imposed tariffs on goods from Canada, Mexico, and China, causing Bitcoin prices to drop sharply.
📌 Two days later, after a conversation with Mexican President Claudia Sheinbaum, he temporarily suspended the tariffs – causing Bitcoin to recover.
📌 Gold continues to soar, while Bitcoin fluctuates wildly, reflecting that investor sentiment still does not consider crypto a true safe haven asset.
👉 Greg Magadini, Director of derivatives at #Amberdata , states:
"Trade wars may cause Bitcoin and gold to decouple in the short term. Gold remains the traditional safe haven asset, while Bitcoin is still highly speculative, influenced by meme coins and tech stocks."
📊 Data from CoinGecko shows Bitcoin fluctuated from $105,893 to $92,876 in just the past 7 days – a volatility far greater than gold.
🏛 Can Bitcoin Replace Gold in Times of Crisis?
Even though Bitcoin has outpaced gold in long-term growth, experts still believe gold is the safer option during times of instability.
💬 Michael Petch, President of the gold investment platform Argo, shares:
"Bitcoin, while appealing as an alternative store of value, is less reliable than gold during economic instability due to its high volatility."
💬 Michael Lebowitz, an expert from RIA Advisors, believes:
"Investors dislike instability, and Donald Trump brings a lot of instability."
🎯 Conclusion
Under Trump, trade wars and unexpected policies are causing significant volatility in the financial markets. Gold remains the traditional safe haven, while Bitcoin struggles to find its place on the list of safe assets.
🔹 What will you choose in this phase: Bitcoin or gold? Please share your perspective! 🚀