As geopolitical tensions escalate and send shockwaves through global markets, gold prices have surged while Bitcoin (BTC) prices have plummeted.
This suggests growing concerns about Bitcoin's status as a safe asset as investors flock to traditional assets to hedge financial losses.
Gold Reaches New Israel-Israel-Iran War
Following Israel's recent attack on Iran, the cryptocurrency market has crashedAs geopolitical tensions escalate and send shockwaves through global markets, gold prices have surged while Bitcoin (BTC) has plunged.
This suggests growing concerns about Bitcoin's status as a safe asset as investors flock to traditional assets to hedge financial losses. Recording liquidations of $1 billion billion a. At the time of writing, Bitcoin is trading at $104,830, down nearly 3% in the past 24 hours.
Similarly, Ethereum price has plunged 10%, exacerbating the liquidation situation.
In contrast, gold is is rising. As precious metals attempt to reclaim their status as a safe haven amid geopolitical stress, it is approaching its higpeak.
Stock analyst Mary pointed out that "gold prices have sursharply due to the deterioration of the geopolitical situation".
She emphasized that gold's key support levels are $3,420, $3,402, and $3,380. If it breaks through $$3,440, it could move to the $3,468-$3,493 range during US trading hours. At the time of writing, gold is trading at $3,,422.
Gold prices may rise tensions rise between Israel and Iran. and Especially after Israel attacked Iran's nuclear facilities and military leadership, Iran has warned of a "lethal" response.
The rest of the translation follows the same approach, the maintaining the and translating the text to English while preservHTML tags.]The psychological shift preferring gold over Bitcoin aligns with recent statements by Marcin Kazmierczak. As the co-founder and COO of Redstone, he said in an interview with BeInCrypto that Bitcoin may not be ready to replace gold or bonds.
"Bitcoin, with a correlation ranging from -0.2 to 0.4, shows a variable relationship with stocks rather than providing a consistent negative correlation truly necessary for effective portfolio protection," Kazmierczak stated in an interview with BeInCrypto.
He noted that while Bitcoin can add diversity to a portfolio, it cannot reliably protect against market crashes.
Although some cryptocurrency supporters claim Bitcoin is digital gold, recent price movements suggest it continues to behave like a high-risk asset in situations of extreme uncertainty.
As tensions escalate and markets react, the rise of gold and the decline of Bitcoin create a new narrative about safe assets.
Investors are signaling a preference for the historical stability of precious metals over the volatility of digital assets during crisis situations.
