US economic instability caused by Trumpian tariffs is driving more people towards gold as a safe-haven asset, overshadowing Bitcoin. Bullion prices are benefiting from trade war tensions, while Bitcoin has fallen 16% in the same period. Gold prices rallied on Tuesday, supported by a weakening US dollar. Bitcoin's downward trend began in mid-February as major stakeholders cashed out profits, and institutional interest has dwindled since Trump's re-election. Analysts suggest that gold may reach fresh highs this year if inflows into gold ETFs offset declining physical purchases. Gold advocate Peter Schiff criticizes the US government for holding Bitcoin, citing its recent performance. Technical indicators suggest a possible short-term pullback for Bitcoin.
Bitcoin, Solana and Crypto Markets Likely in ‘Classic Bear Trap’ Before Euphoric Move: InvestAnswers