Gold and silver outrun bitcoin (BTC) price as 2025's go-to protectors of fiat money
Precious metals like gold and silver significantly outperformed Bitcoin in 2025 as investors favored them to hedge against fiat currency debasement.Summary
In 2025, precious metals like gold (up almost 70%) and silver (up about 150%) significantly outperformed Bitcoin, which fell about 6%, as investors sought hedges against the potential erosion of fiat currency value through the "debasement trade." This strategy involves buying perceived store-of-value assets due to ultra-easy monetary policies and fiscal deficits. Although Bitcoin bulls expected the cryptocurrency to rally later, its price stalled above $126,000 in October and subsequently pulled back. Gold's rally has been technically strong, maintaining a long streak above its 200-day simple moving average. Despite the lag, analysts like Lewis Harland suggest Bitcoin historically responds with greater torque to the same debasement backdrop, expecting it to catch up in 2026. Predictions markets currently give BTC a 40% chance of being the best-performing asset in the coming year.
(Source：CoinDesk)