What You Need to Know:
- Stocks Declining: U.S. stocks are trending downward again, dragging Bitcoin down with them.
- Gold’s Resilience: Amidst this market downturn, gold has reached a new peak, nearing $3,000 per ounce for the first time.
- ETF Trends: Gold ETFs see their biggest inflows since 2022, contrasting sharply with the $5 billion outflow from Bitcoin ETFs since February.
After a brief rally prompted by soft inflation data, U.S. stock indexes have started to fall and are also affecting Bitcoin (BTC). Currently, the Nasdaq is down by 1.7% and the S&P 500 has dropped 1.2%. Having peaked at nearly $85,000 on Wednesday, Bitcoin has now receded to $81,000, down 1% in the last 24 hours.
Gold, as it has historically done during turbulent times, has provided a safe haven where investors can seek refuge. With a 1.5% increase, it stands at a record high, just below the $3,000 per ounce mark.
In the past three weeks since the Nasdaq’s peak for the year, this index has dipped nearly 15%, while gold has managed to gain about 1%, and Bitcoin has dropped almost 20%. This current trend may remind investors of late summer to early fall of 2024 when crypto markets and stocks fluctuated sideways as gold reached new highs.
Gold exchange-traded funds (ETFs) have experienced their largest inflows in the past thirty days since early 2022, adding a substantial 3 million ounces of gold according to Bold.report data.
In contrast, Bitcoin ETFs have suffered from significant outflows of $5 billion since February, marking a period of history-low performance for these assets.
