Gold Price Hits $4K ATH, Leaves Nasdaq In The Dust — Is the Bull Cycle Toast?

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So, gold just became the main character again. The world is a hot mess right now. There’s a new war starting every other day, the central banks are tweaking rates like it’s nothing, and the boomers are hoarding gold like it’s 2008. Add to this some inflation and a weak dollar, and boom, the gold price is now $4,000.

Basically, the world is now Golum and gold is its precious.

(Source: Tradingview)

What we are seeing here is a domino effect taking hold.

The first domino fell with the Ukraine-Russia and Israel-Gaza wars that drove investors towards gold as a hedge against instability.

A cooling job market and inflation in the US had people expecting rate cuts from the Federal Reserve (FED), which made yield-bearing assets like bonds less attractive and boosted the demand for non-yielding assets like gold.

The third domino fell in the form of a weaker US dollar, which is a typical consequence of rate cuts. This made gold cheaper to buy for everyone, cause literally everything is based on US dollar denominations, which in turn increased global demand. Every country put its skin in the game and started buying gold like its life depended on it.

And then, the final nail in the coffin. The US government shutdown and concerns over central bank independence sent gold prices soaring. And you know what? Everyone is still buying gold! It has surged 53% in 2025, leaving the Dow, S&P 500, and Nasdaq trailing far behind. And it still has a ways to go!

Goldman Sachs predicts that the gold price will reach $4,900 per ounce by the end of 2026. J.P. Morgan sees it averaging around $3,675 later in 2025 and getting close to $4,000 by mid-2026.

But what does this mean for crypto? Let’s discuss.

Explore: Top 20 Crypto to Buy in 2025

Now that the gold price has breached % $4,000, analysts are turning their attention to . They predict that BTC may soon outpace the yellow metal. Henrik Andersson of Apollo Capital was quoted by a publication, where he stated that the rally reflects a broader investor appetite for scarce assets.

He said, “Gold’s all-time high shows investors’ demand for scarce assets. From here, we believe Bitcoin will be the better-performing asset of the two.”

Justin d’Anethan, Head of Partnerships at Arctic Digital, agreed with the sentiment, stating, “Gold hitting $4K is just another confirmation of the same dynamic supporting BTC.”

He described this movement as a “mutual confirmation,” and said that both assets respond similarly to macroeconomic pressures such as unchecked US deficits, declining dollar credibility, and heightened geopolitical risks.

He added, “Gold is familiar and deeply rooted in traditional finance setups. Bitcoin moves bigger because it’s available 24/7, scarcer, and admittedly more forward-looking.”

Analysts like Ted Pillows and James Bull note that Bitcoin tends to follow gold’s moves with an 8-week lag, especially during macro-driven rallies because of its higher volatility and sensitivity to retail sentiment and ETF flows.

Gold has been the mainstay of the traditional finance system for years. It is usually more stable than Bitcoin, which can swing more in the short term. But in 2025, both assets are climbing together. Gold is up 50% this year, and Bitcoin 33%. This highlights the case for Bitcoin as the Digital gold and also underscores that both assets are reacting similarly to economic forces.

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With the dollar steadily losing credibility, there’s a new movement unfolding on the blockchain: the rise of tokenised gold.

In the past couple of months, investors have been steadily investing in blockchain-based representations of physical gold, such as Tether Gold (XAUT) and Paxos Gold (PAXG). This is a cool way to hedge against volatility while staying within the digital ecosystem.

(Source: CoinGecko)

According to RWA.xyz’s data, the number of crypto wallets holding tokenised gold has shot up by 53%. $3 billion worth of these tokens are currently in circulation.

(Source: RWA.xyz)

Tether Gold, the biggest player in this segment, has grown its supply by 52%. Paxos Gold isn’t too far behind with a 50% increase.

(Source: DefiLlama)

These tokens are backed 1:1 by real bullion and offer the stability of gold with the flexibility of crypto. Because they live on the blockchain, people can use them in lending platforms or put them up as collateral on DeFi without needing to move off-chain.

This also points to the broader shift and appetite for RWA tokenisation, where traditional stores of value are being reimagined and moved on-chain for 24/7 markets.

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Read original story Gold Price Hits $4K ATH, Leaves Nasdaq In The Dust — Is the Bull Cycle Toast? by Arijit Mukherjee at 99bitcoins.com

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