Gold Hits Record High as Bitcoin Slips, Indicating Profit Rotation Into Metals
22 September 2025

Safe-haven demand drove gold to new record levels on Monday while Bitcoin retreated, highlighting shifting investor dynamics in 2025.

Market Moves

• Gold rose 1% to $3,721, marking another all-time high and lifting its year-to-date gain to 43%.
• Bitcoin (BTC) fell 3% to $112,000, trimming its 2025 gains to 17%. The timing suggests that profits from bitcoin liquidations may have rotated into gold, a traditional store of value.

Divergence Between Assets
Although Bitcoin is often considered a digital form of “sound money,” the two assets rarely move in perfect sync. Occasionally, both rise or fall together with a slight lag, but the current divergence is notable, with gold surging as Bitcoin stumbled.

Other Metals on the Move

• Silver climbed 1.5% to $44, nearing its third-highest level since 1975 and posting a 50% year-to-date gain.

Macro Backdrop
Since the Federal Reserve cut interest rates by 25 basis points on September 17, both gold and the S&P 500 have risen roughly 1%. At the same time, U.S. Treasury yields increased, with the 10-year at 4.125% (up 2.5%) and the 30-year at 4.7% (up 2%).

The U.S. dollar strengthened, with the DXY index climbing 1% to 97.5, which typically pressures risk assets. Bitcoin has fallen more than 3.5% since the Fed’s move, reinforcing the rotation of capital into traditional safe havens like gold and silver.