Bitcoin Falls Over 5% to $105k Amid Shift to Gold
Bitcoin Market Update
- Bitcoin fell over 5% to approximately $105,105, down 13% from its peak on October 6.
- Crypto liquidations totaled around $1.23 billion in a day, with $453 million linked to Bitcoin and $277 million to Ethereum.
Gold as a Safe Haven
- Gold prices surged to record highs, with spot gold exceeding $4,300 an ounce.
- Gold ETFs saw significant inflows, reaching long-term holding highs.
Market Dynamics
- Investor concerns about US banks and interest-rate timing increased demand for gold.
- Spot Bitcoin ETFs experienced net outflows, indicating a shift away from crypto investments.
Debate on Bitcoin as "Digital Gold"
- The debate over Bitcoin's role as "digital gold" intensified, with some highlighting its volatility during market stress.
- Despite fluctuations, Bitcoin remains an investment choice for certain investors this year.
Future Outlook
- Investors are monitoring Federal Reserve actions and US banks for future trends.
- If rate-cut expectations rise, gold might continue its upward trend, while a return of risk appetite could shift funds back to crypto.