Gold and silver prices have surged through December 2025, contrasting with Bitcoin’s (BTC) lackluster performance, indicating a divided investor sentiment between safe-haven assets and riskier options.

Safe Assets Outperforming Bitcoin

Recent insights from XWIN Research Japan highlighted Bitcoin’s current stagnation as it undergoes a prolonged consolidation phase after a phase of correction. In the past three months, while gold and silver prices have continued to climb, BTC has mostly remained stable. Analysts from XWIN connect this trend to escalating geopolitical tensions, uncertainty in policy, and the likelihood of lower real interest rates—factors that historically favor precious metals which attract consistent institutional demand.

In some instances, silver has even surpassed gold in performance, aided by tighter supply and a stronger response to speculative movements. Conversely, XWIN notes that Bitcoin behaves more like a volatile risk asset rather than a stable store of value, which often relegates it to a secondary preference for investors seeking to hedge against market instability.

Current Market Dynamics

On-chain data supports this narrative, with CryptoQuant reporting that demand for Bitcoin has turned negative. This downturn indicates that new buying interest is failing to match supply despite sustained price levels. Moreover, prolonged periods of the Secure On-Chain Profit Ratio (SOPR) below 1 suggest that many recent investors are selling at a loss, putting pressure on prices during market rebounds.

Analysts are noting a significant reduction in network activity, with Bitcoin’s 30-day average active addresses dropping to approximately 807,000—the lowest this year. Similar trends have also been observed in deposit and withdrawal addresses on exchanges, signifying a stagnation in aggressive accumulation while long-term holders remain in no rush to sell.

Future Perspectives

Bitcoin’s subdued performance comes on the back of a tough year, facing its poorest fourth quarter since 2018, with a near 22% decline observed. Nonetheless, not all analysts view this consolidation as unfavorable, with some like Crazzyblockk arguing that flows from spot Bitcoin ETFs still offer crucial support. Utilizing a valuation model, they posit Bitcoin’s current price approximates a fair value around $88,000, indicating minimal speculative excess relative to earlier in the year.

This insight stands in stark contrast to feelings surrounding gold’s performance. Figures such as Peter Schiff celebrated gold breaching $4,400 as Bitcoin-induced debates linger on whether gold could hit $5,000 before Bitcoin sees a significant drop. Overall, the evolving data portrays a clear narrative: gold and silver are thriving in an environment of steady demand, while Bitcoin awaits a stronger revival in market engagement before it can achieve its next significant movement.