Gold demand breaks into the crypto whale market as it hits a rare extreme last seen over a decade ago

Crypto whales are showing increased interest in tokenized gold (XAUT and PAXG), evidenced by significant withdrawals from centralized exchanges, suggesting a safe-haven positioning amid Bitcoin's recent price stagnation. This move is interpreted not necessarily as abandoning Bitcoin, but as a tactical hedge for the current macro environment, where gold is favored first during stress before Bitcoin might take over in a potential debasement phase. Tokenized gold appeals to crypto-native investors because it allows them to hedge within crypto rails without exiting the ecosystem. This trend is supported by gold's strong rally, central bank demand, and Tether's recent gold purchases for stablecoin reserves. Meanwhile, Bitcoin's slowdown is attributed to significant weekly outflows from global crypto ETPs, particularly US-listed Bitcoin ETFs. Experts suggest that the current dislocation, where the BTC-to-gold ratio is at an extreme, may be a temporary sequencing pattern; as macro uncertainty persists, gold captures immediate safety, but Bitcoin's narrative of self-custody and trustlessness could become more powerful later, potentially leading to a rotation back once ETF flows stabilize.

(Source：CryptoSlate)