Gold-Backed Tokens Steady in $19B Crypto Rout Amid Potential Rally Exhaustion

Amid a $19 billion liquidation event affecting major cryptocurrencies like Bitcoin and Ethereum, gold-backed digital assets showed resilience, aligning with the precious metal's rally.

Tether’s XAUT and Paxos’ PAXG held steady or gained slightly as broader crypto markets fell.
Bitcoin dropped 8.5% over 24 hours; the CoinDesk 20 index indicated a 12.75% fall in the wider crypto market.
PAXG saw a minimal decline of 0.23% to $3,998, while XAUt rose by 0.2% to $4,010. A troy ounce of gold closed near $4,018.
Year-to-date, these tokens have surged over 50%, benefitting from gold’s historic rally.
Gold prices might be approaching a peak after eight weeks of continuous growth, potentially leading to a correction phase.

In the broader crypto market, recovery may be slow due to liquidity constraints, weekend ETF closures, and cautious market maker behavior. U.S.–China trade tensions add further uncertainty.