Gold Hits Record High as Bitcoin Retreats, Highlighting Diverging Market Paths

The price of gold surged to a record high on Monday following comments on inflation from U.S. President Donald Trump, while Bitcoin slipped to its lowest level in two months , underscoring what analysts describe as the digital asset’s “split personality.” According to latest data , gold rose 1% to reach $3,485 per ounce. The rally was triggered after Trump posted on Truth Social that prices in the United States were “WAY DOWN” and that inflation was virtually nonexistent. His remarks appeared to stoke investor interest in gold as a traditional safe-haven asset. Gold Surges Amid Inflation Remarks The spike comes after years of tight correlation between gold, Bitcoin, and the Nasdaq. IG market analyst Tony Sycamore noted that while the three assets have generally moved higher together, gold and BTC have recently diverged. “This isn’t uncommon for brief periods and comes due to Bitcoin’s split personality,” Sycamore said, adding that Bitcoin is sometimes treated as a store of value and at other times as a risk asset. BTC price action told a different story. The cryptocurrency dropped to $107,290 on Coinbase Monday morning, its lowest point since early July. The decline marked a 13% correction from its mid-August all-time high, making it the steepest pullback in weeks. Analysts Split on Bitcoin-Gold Correlation The breakdown in correlation between gold and Bitcoin has been evident throughout 2025. Vince Yang, co-founder of Ethereum layer-2 platform zkLink, noted that BTC has been “more tied to liquidity and market risk,” while gold remains the default safe haven. “Basically, they balance each other out rather than run side by side,” Yang explained. Still, some analysts believe the relationship may reassert itself. Sycamore suggested that if Trump pursues policies that heat up the U.S. economy while the Federal Reserve cuts rates into persistent inflation, Bitcoin could once again track gold’s upward momentum . “It’s just a question from what level Bitcoin finds its toehold,” he said. Historical precedent appears to support this view. When gold hit new highs above $2,000 during the pandemic in 2020, Bitcoin followed with a surge to record levels the following year. Joe Consorti, head of growth at Theya, has argued that BTC tends to follow gold’s directional bias with a lag of 100 to 150 days. The post Gold Hits Record High as Bitcoin Retreats, Highlighting Diverging Market Paths appeared first on TheCoinrise.com .