How Can Bitcoin Rise While the Gold Price Falls? What Do Analysts Expect Next? $BTC

Bitcoin has outperformed gold by a large margin in the past month, rising more than 46% while gold prices have fallen more than 3%.

This sharp divergence signals a growing shift in institutional investor sentiment, with analysts suggesting that Bitcoin is increasingly viewed as a high-growth investment and a modern alternative to traditional inflation hedges like gold.

Gold is trading above $2,600 an ounce, down from a record high of $2,787 in late October, while bitcoin has risen from $68,000 to over $98,000 in the same time frame.

Deenar co-founder Maruf Yusupov attributes Bitcoin’s rapid rise to the market’s reaction to Donald Trump’s re-election victory in the United States.

“Trump’s tax cuts, tariffs, and focus on cryptocurrencies are driving interest in Bitcoin as a modern alternative to gold,” Yusupov said. “As institutional adoption accelerates, we could see a significant shift in capital away from gold and toward digital assets.”