Gold’s Glorious Rise: Is Bitcoin Jealous? Find Out Now! 😲💰

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What to know:

By James Van Straten (All times ET unless indicated otherwise)

In the recent tumult of the market, it appears that gold has donned the crown of the “store of value,” whilst its digital counterpart, Bitcoin, finds itself in a rather precarious position—struggling, one might say, like a gentleman without a fortune. 😅

Indeed, the futures of gold for April delivery have gallantly surpassed the remarkable sum of $3,000 per ounce for the very first time, a milestone that would make even the most stoic of investors raise an eyebrow in astonishment. Meanwhile, spot gold is consolidating just shy of this illustrious figure, boasting a commendable 15% increase year-to-date, whilst Bitcoin languishes—down 12% this year and hovering around the rather paltry sum of $80,000. Oh, the irony! 🤑

This divergence serves to highlight gold’s esteemed position as the ultimate safe-haven asset in these uncertain economic times.

Since the middle of February, U.S. spot Bitcoin ETFs have experienced a mere three days of inflows, leading to a decline in total net inflows from a staggering $40 billion to a rather disheartening $35 billion, as noted by the astute Eric Balchunas, a senior analyst at Bloomberg ETF.

Meanwhile, the S&P 500 has entered a rather unfortunate correction territory, having fallen over 10% and struggling to reclaim its 200-day moving average amidst escalating geopolitical tensions. The further tariffs imposed by the former President Trump, coupled with the stalled ceasefire negotiations between President Putin and Ukraine, have only served to exacerbate global uncertainty. How delightful! 🙄

Andre Dragosch, the Head of Research at Bitwise in Europe, attributes gold’s record highs and the U.S. equity sell-off to rising inflation expectations, both short- and medium-term, alongside a rather dismal decline in consumer confidence.

“The recent rally in gold to new all-time highs likely reflects both increasing inflation expectations and a broader flight to safety,” Dragosch explains, as if we needed further confirmation of the obvious. “In fact, both short- and medium-term inflation expectations in the University of Michigan consumer survey have risen to multi-decade highs. U.S. consumers are growing increasingly concerned about inflation, likely due to the Trump administration’s new tariff policies.”

He further notes, “Meanwhile, U.S. equities have been selling off due to mounting economic uncertainty driven by these trade policies, as well as rising recession risks amid a slowdown in the labor market. Both factors have significantly buoyed the price of gold.”

Token Talk

By Oliver Knight

  • In an otherwise muted day for altcoins, HyperLiquid’s native token is leading the pack, having risen by 9.5% in the past 24 hours. The boost comes as the decentralized exchange topped $1 trillion in cumulative volume this month, with $4.8 billion worth of derivatives in the past day alone. Quite the achievement, I must say! 🎉
  • Alas, the same cannot be said for other DeFi tokens like AAVE, LIDO, and PYTH, which have all been languishing between 19% and 21% down over the past week after failing to recover from a market-wide plunge over the weekend. Poor dears! 😢
  • One trader, however, has profited a cool $108k after purchasing the Base memecoin doginme on Thursday, only for Coinbase to list the token on Friday, spurring a remarkable 150% rally. A stroke of luck, indeed! 🍀

Derivatives Positioning

  • Earlier this morning, the price of Bitcoin bounced to $82,895 from levels below $80,000, hitting a cluster of short liquidations leverage worth $52.1 million, according to CoinGlass. The next significant liquidations leverage level is $79,760, holding liquidations worth $41.9 million. How thrilling! 😏
  • Among the assets with over $100 million in open interest, Chainlink saw the highest

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2025-03-14 14:23