Gold’s 21% Fall Forms 106 Year Record While Bitcoin Stabilizes At $71,000
Gold experienced its worst 10-day losing streak in 106 years, dropping nearly 21%, while Bitcoin remained stable above $70,000.Summary
Gold, traditionally a safe-haven asset, recorded its longest losing streak since 1920, falling nearly 21% from its peak before partially recovering. This decline is attributed to a fundamental reassessment of its role, exacerbated by the Federal Reserve's hawkish stance signaling few rate cuts and rising oil prices strengthening the dollar. In stark contrast, Bitcoin stabilized above $70,000, absorbing significant inflows into its ETFs while gold ETFs saw billions in outflows, suggesting Bitcoin is displacing gold as the preferred safe-haven for new investors. The assets now show a negative correlation of -0.31. Despite the sharp drop, analysts like Peter Schiff see parallels to the 2008 crisis and view the correction as a buying opportunity, while J.P. Morgan and Deutsche Bank maintain high year-end price targets for gold, contingent on geopolitical stability and future Fed policy.
(Source：BeInCrypto)