Gold vs Bitcoin: Why Gold Is Surging While Bitcoin Struggles in 2026

Gold (XAU) price continues to rise and reaches new record highs while Bitcoin (BTC) price shows negative price action. The gold price broke above $4,900, but Bitcoin was not able to breach the $100,000 mark in January 2026. It still trades around 30% below the October 2025 highs. Currently, the investors are leaning toward gold as a safe-haven option. The increase in global tensions, central bank support and a devaluation of the U.S. dollar are driving gold higher. On the other hand, Bitcoin appears to be losing some of its status of “Digital Gold”.

Gold Leads as Bitcoin Lags in Post-Election Market Performance

The performance of Bitcoin has declined since President Trump won 2024 election. The chart below shows that the Bitcoin price has dropped in 2025, while gold and silver (XAG) have been gaining ground. Silver is taking the lead in the precious metals arena and is outperforming the market. Meanwhile, larger markets such as the Nasdaq and S&P 500 (SPX) have also reported strong gains during the past 12 months.

Despite the weak performance of Bitcoin in 2025, the price has gained significantly in 2024 and lead the precious metals market. The Bitcoin underperformance in 2025 has increased the questions and uncertainty around the crypto space in 2026.

Gold-to-Bitcoin Ratio Breakout Confirms Changing Investor Sentiment

The ratio of gold to bitcoin confirms this change in market sentiment. The ratio has broken through strong resistance and is moving higher. This breakout in ratio indicates stronger momentum for gold. In previous cycles, Bitcoin has performed better due to high volatility, delivering larger returns. But that trend is apparently changing. Gold is now on a steady uptrend and showing real strength in this environment.

The technical picture for the gold to Bitcoin ratio shows that the ratio broke the descending channel and then the pivotal 0.05 level. This breakout from descending channel suggests that gold is likely to perform better in comparison to Bitcoin over the next few months.

Technical Analysis: Bullish Gold vs Bearish Bitcoin Structure

The technical picture for Bitcoin is still bearish as Bitcoin fails to breach above $100,000 in January 2026. The formation of a rounding top within the vicinity of resistance of the ascending broadening wedge pattern indicates that Bitcoin price may keep dropping towards $75,000.

However, a break below $75,000 will send prices towards $60,000, which is the primary support level for the Bitcoin. However, the prices may bounce back from the $60,000 to $75,000 zone towards $100,000. A breakout above $100,000 will keep the bullish trend in Bitcoin prices and indicate further upside.

The weekly chart for spot gold shows that the gold market is continuing higher within bullish trend. The price explosion above $4,900 is another milestone achieved by the gold market. A break above the psychological level of $5000 in spot gold will open the door for continued upside towards $5,500.

Final Take: Gold Stays Strong While Bitcoin Struggles

Gold is breaking record levels within the parabolic trend, but Bitcoin is struggling to keep the momentum. The market is clearly in favor of gold as global risks increase. Bitcoin’s momentum has dissipated, and its price remains well below last year’s high. The gold to Bitcoin ratio indicates that investors are now more interested in stability than in speculation. From technical perspective, more upside is expected in gold towards $5,500 while the Bitcoin may continue to drop towards the $75,000.

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