Analysis: Precious Metals Surge Signals Shift Towards Bitcoin Investment
The recent record prices of precious metals suggest a potential shift in investment towards Bitcoin, as analysts note its undervaluation amidst gold and silver highs.
Precious metals have reached unprecedented heights in 2025, which could indicate that Bitcoin is currently undervalued, setting the stage for a robust fourth quarter rally for BTC.
Gold prices have soared, hitting $4,000 per ounce, while silver has climbed to a 45-year high exceeding $50 per ounce. However, this rally in precious metals might be nearing its peak, leading investors to consider transitioning their investments into Bitcoin and tokenized real-world assets.
According to an analysis by Nic Puckrin, the founder of Coin Bureau, gold has seen a rise of over 50% this year. He predicts that it could potentially reach $4,900 per ounce by the end of 2026, stating:
“After more than a 50% rally in the gold price year-to-date, attention may now turn to other alternatives that express a similar view. These include other metals and commodities, tokenized real assets, and Bitcoin, which remain undervalued against gold.”
Gold rallies to a new all-time high of over $4,000. Source: TradingView
Puckrin further emphasizes that these assets act as safeguards against inflation and geopolitical instability.
Bitcoin also surged to a record high of over $126,000 in October, coinciding with the spike in precious metals prices. Investors’ faith in the US dollar has been waning, with it predicted to have its worst year since 1973.
“The USD is now on track for its worst year since 1973… down over 10% year-to-date. The USD has lost 40% of its purchasing power since 2000,” analysts from the Kobeissi Letter remarked in a recent statement.
This trend indicates that investors may be adjusting their asset valuations for a new monetary policy era characterized by higher inflation and continued depreciation of currencies, leading to an overall increase in asset prices.
BTC is anticipated to see substantial growth in the fourth quarter, as investors flock to safe-haven assets amidst ongoing currency weakening, according to Matt Hougan, chief investment officer at Bitwise.
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