Bitcoin price and gold price are surging together with stocks as the US dollar weakens, reflecting a generational macroeconomic shift driven by easing Fed policy, rising inflation expectations and weaker labor data that favor stores of value and risk assets simultaneously. Safe-haven and risk assets rising together Correlation between gold and equities hit a record, signaling a new monetary regime. BTC > $125,000 and gold ~ $3,880/oz as the US dollar posts one of its largest YTD declines. Bitcoin price surges with gold as the US dollar falls; read the latest market drivers and implications for investors. Stay informed — analysis and takeaways. Safe-haven and bearer assets are surging alongside risk-on assets like stocks, an unusual combination that signals a macroeconomic shift. What is driving the Bitcoin price and gold price rally? Bitcoin price and gold price are rising in tandem with equities because markets are pricing in easier monetary policy, weaker labor markets and renewed inflation risk. These forces have weakened the US dollar, boosting dollar-denominated stores of value and sparking a widespread rotation into both safe-haven and risk assets. Analysts at The Kobeissi Letter note that the USD is on track for its worst year since 1973, while the S&P 500 has climbed more than 40% over six months — a backdrop that supports assets like BTC and gold. Source: The Kobeissi Letter How does the US dollar decline affect Bitcoin and gold? A weaker US dollar increases the purchasing appeal of dollar-denominated commodities and digital stores of value. As the dollar loses purchasing power, investors shift capital into assets like gold and BTC to preserve wealth. The USD has lost roughly 40% of its purchasing power since 2000, according to long-term data cited by market analysts. Measured correlations show an unusual alignment: the correlation coefficient between gold and the S&P 500 reached a record 0.91 in 2024, indicating simultaneous flows into both risk and safe-haven assets. Why are macroeconomic events fueling this rally now? Recent macro events—including a US government shutdown, significant downward revisions to US jobs data, and expectations of Federal Reserve rate cuts—have shifted investor expectations. Fabian Dori, chief investment officer at Sygnum, says the government shutdown and political dysfunction have renewed interest in BTC as a monetary technology and store of value as trust in institutions weakens. This view reinforces demand for bearer assets while risk appetite continues in equities. Bitcoin is hitting new all-time highs and is in a bull market. Source: TradingView Frequently Asked Questions Is the Bitcoin price rally sustainable? Short-term sustainability depends on macro policy: if the Fed cuts rates amid weakening labor data and rising inflation, the rally can persist. Long-term durability requires broad institutional adoption and macro stability; investors should monitor rate guidance and USD trends. How high is gold trading and why does it matter? Gold is trading near $3,880 per ounce at the time of this report. Its rise matters because it signals rising inflation expectations and capital flows seeking inflation protection, which often benefits Bitcoin as an alternative store of value. { "@context": "https://schema.org", "@type": "NewsArticle", "mainEntityOfPage": { "@type": "WebPage", "@id": "https://en.coinotag.com/article/bitcoin-gold-surge-2025" }, "headline": "Bitcoin and Gold Surge as US Dollar Weakens, Analysts Cite Generational Macroeconomic Shift", "image": [ "https://en.coinotag.com/wp-content/uploads/2025/10/0199b59f-a1fa-7f0e-b052-68d8f246d0f5.png" ], "datePublished": "2025-10-05T08:00:00Z", "dateModified": "2025-10-05T12:00:00Z", "author": { "@type": "Organization", "name": "COINOTAG" }, "publisher": { "@type": "Organization", "name": "COINOTAG", "logo": { "@type": "ImageObject", "url": "https://en.coinotag.com/assets/logo.png" } }, "description": "Safe-haven and bearer assets are surging alongside risk-on assets like stocks, an unusual combination that signals a macroeconomic shift."} { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [ { "@type": "Question", "name": "What is driving the Bitcoin price and gold price rally?", "acceptedAnswer": { "@type": "Answer", "text": "Easier Fed policy expectations, a weakening US dollar, weaker labor data and rising inflation expectations are driving concurrent rallies in Bitcoin and gold." } }, { "@type": "Question", "name": "How does the dollar's decline impact investors?", "acceptedAnswer": { "@type": "Answer", "text": "A declining dollar reduces purchasing power and encourages allocation to stores of value like gold and Bitcoin, increasing demand and prices for these assets." } }, { "@type": "Question", "name": "Are equities and safe-haven assets normally correlated?", "acceptedAnswer": { "@type": "Answer", "text": "No; high positive correlation between equities and gold is unusual. A record correlation suggests markets are pricing a major shift in monetary policy and macro risk." } } ]} { "@context": "https://schema.org", "@type": "HowTo", "name": "How to interpret the BTC–gold–USD macro signal", "description": "Steps for investors to interpret simultaneous rallies in Bitcoin and gold amid a falling dollar.", "step": [ { "@type": "HowToStep", "position": 1, "name": "Check macro indicators", "text": "Review USD performance, inflation expectations and labor market revisions to confirm macro drivers." }, { "@type": "HowToStep", "position": 2, "name": "Compare correlations", "text": "Monitor correlation coefficients between gold, equities and Bitcoin to detect regime shifts." }, { "@type": "HowToStep", "position": 3, "name": "Adjust allocation", "text": "Consider balancing exposure across inflation hedges and growth assets based on policy outlook and risk tolerance." } ]} Key Takeaways Macro drivers : Fed rate cuts, weaker jobs data and higher inflation expectations are the primary catalysts. Asset correlation : Record gold–equity correlation suggests markets are pricing a new monetary regime. Investor action : Monitor USD trends and policy signals; consider diversified allocations to stores of value and risk assets. Conclusion Bitcoin price and gold price rising together with equities reflect a rare market environment shaped by monetary policy expectations and a weakening US dollar. Investors should track Fed communications, USD performance, and real yields to gauge sustainability. COINOTAG will continue covering developments and providing data-driven analysis for market participants.
