Gold surged to a fresh all time high above 5,400 dollars an ounce as investors piled into the metal following remarks from Federal Reserve Chair Jerome Powell, while bitcoin remained rangebound and largely unresponsive. The rally in precious metals accelerated during Powell’s post meeting press conference, where the central bank held interest rates steady and downplayed the macro significance of soaring gold prices. Despite Powell’s insistence that inflation expectations remain anchored and that the Fed’s credibility is intact, market participants appeared unconvinced. Gold prices jumped more than 6 percent on the day, extending an already powerful run that has seen the metal gain over 90 percent in the past year. Silver and platinum also posted sharp gains, but gold stood out given its scale and role as a traditional safe haven during periods of uncertainty.
Bitcoin, by contrast, continued to trade in a narrow band near 89,000 dollars, showing little reaction to either the Fed decision or the surge in metals. The broader crypto market followed a similar pattern, with major tokens drifting sideways as investors awaited earnings from large technology firms and clearer macro signals. The muted price action has highlighted a growing divergence between bitcoin and traditional defensive assets. While macro conditions such as a softer dollar and elevated geopolitical risk are often cited as supportive for digital assets, those tailwinds have so far translated more clearly into gains for gold than for crypto. U.S. equities were also little changed on the session, reinforcing the sense that capital is becoming more selective in where it seeks protection and returns.
The contrast between gold’s momentum and bitcoin’s stagnation is prompting renewed debate about crypto’s role as a macro hedge. Some analysts argue that the current environment reflects a repricing of geopolitical and fiscal risks that favors assets with long established safe haven status. Gold’s rally suggests it is reclaiming market share from bitcoin among investors seeking stability, particularly as crypto continues to behave more like a risk asset during uncertain periods. While bitcoin retains strong long term narratives around scarcity and decentralization, recent performance has raised questions about how it functions in real time during stress driven market rotations. For now, the gap between physical gold and its digital counterpart continues to widen, reshaping perceptions across both traditional and crypto native investor bases.
