Gold rose above $4,400 per ounce on December 22, thus reaching a new all-time high. Meanwhile, Bitcoin (BTC) is now 29.5% below its record level.
The weaker performance of Bitcoin compared to gold has analysts concerned that speculative assets may enter a prolonged decline.
Rally in precious metals accelerates: gold, silver, and platinum prices rise
Gold continued its upward trend today and reached a new all-time high of $4,409 during early Asian trading. At the time of writing, the price was $4,403 per ounce. Meanwhile, gold futures hit a high of $4,415 per ounce.
The strength of the market was not only visible in gold. Precious metals in general made further gains. Silver reached a peak of $69.4 per ounce.
“Silver is now reaching new daily highs, having increased by +140% just in 2025. Technical analysis no longer matters, and we have seen 8 consecutive months of green candles,” shared The Kobeissi Letter.
Platinum also rose and reached its highest level in years. This metal is now only 4.5% below its all-time high.
“The price has risen above $2,040/oz. This move comes with strong momentum and looks like a decisive breakout, not a temporary peak. Platinum lagged behind gold and silver for nearly the entire cycle, but is now catching up, indicating renewed interest in precious metals and a possible shift towards undervalued commodities,” wrote analyst Mario Nawfal.
Bitcoin is performing worse in 2025 while silver and gold lead the returns
Meanwhile, Bitcoin remains weak in comparison. In the past 24 hours, the largest cryptocurrency rose only about 0.89%.
At the time of writing, Bitcoin was trading at $88,890, about 29.5% below its peak. This development puts additional pressure on long-term holders as profits continue to decrease.
In 2025, Bitcoin has fallen nearly 5%. In contrast, traditional assets have seen significant gains. According to the latest figures, silver has risen by 138%, while gold has increased by almost 68% during the same period.
Market strategist Charlie Bilello emphasized that gold has outperformed Bitcoin by 19% since January 2024, when the first Bitcoin ETF appeared.
“Bitcoin is preventing many people from buying gold or silver. It's a shame that they are losing most of their money with Bitcoin, while they could have made more profits with precious metals,” said economist Peter Schiff.
Stocks also rose harder than Bitcoin this year. The Nasdaq rose 20.8%, the S&P 500 gained 16.4%, and the Russell 2000 increased by 13.4%.
According to a market follower, gold's new all-time high at the end of the year shows that investors continue to prioritize capital protection, but selectively also take on more risk. The analyst expects that periods when gold rises alongside stocks usually reflect cautious optimism among investors.
“That background explains why BTC remains in ranges instead of accelerating further,” is noted in the post.
Analyst sees ratio shift as a warning for risky assets
The ongoing poor performance of Bitcoin may have broader implications than just market sentiment. Senior commodity strategist Mike McGlone from Bloomberg Intelligence pointed to the Bitcoin-gold ratio as an important metric. According to him,
“If the S&P 500 records its third loss year since 2008 in 2026, the ounces of the ancient store of value equivalent to the speculative digital asset will be praised as a leading indicator.”
McGlone pointed out that the Bitcoin-to-gold ratio is close to an important technical support level around 20x, according to charts from December 19.
“What is holding the pair back from moving toward its mode of about 5x? The fact that Bitcoin/gold has remained the same since 2020 and has declined, despite a strong stock market, could signify an endgame for risky assets. A condition for rising Bitcoin/gold has usually been a rising stock price in the past. My feeling is that this leading indicator is ahead of deflation after inflation, which could place an additional heavy burden on stocks to continue rising,” added McGlone.
Still, some market participants have a more optimistic view of Bitcoin's outlook. An analyst believes that gold is overbought, meaning that money could eventually shift from precious metals to Bitcoin.
“BTC/XAU has fallen to around 20 ounces of gold, the lowest level since early 2024. The weekly Relative Strength Index stands at 29.5, close to the three-year low, which in the past indicated long-term bottoms for BTC versus gold. A possible bullish divergence is visible, indicating a short-term recovery, with gold appearing overvalued and BTC undervalued,” explained Web3 Vibes.
Whether Bitcoin can close the gap with gold remains unclear. The coming months will show whether McGlone's concerns are justified or if interest in risky assets returns. For now, gold appears to be performing better than its digital competitor.
