Bitcoin’s correlation with ‘digital gold’ weakens…Ki Young Ju: “This isn’t digital gold right now”
Summary
- Ki Young Ju, CEO of CryptoQuant, said Bitcoin has recently seen its price correlation with gold weaken, drifting away from the 'digital gold' narrative.
- Ju said a 90-day Pearson correlation chart shows the correlation coefficient between Bitcoin and gold prices has fallen into negative territory.
- He added that amid geopolitical tensions and tariff worries, the market sees gold drawing safe-haven demand while Bitcoin is moving more like a risk asset.
An analysis suggests that Bitcoin (BTC) has recently seen a sharp decline in its price correlation with gold, signaling a move away from the ‘digital gold’ narrative.
On the 24th, Ki Young Ju, CEO of CryptoQuant, wrote on X (formerly Twitter) that “Bitcoin is currently in a ‘not digital gold period.’” The chart he shared uses the 90-day Pearson correlation coefficient to show the relationship between Bitcoin and gold prices. Green indicates a positive (+) correlation, while red indicates a negative (-) correlation.
Recently, the correlation coefficient between gold and Bitcoin fell into negative territory. This suggests that even as gold prices rise, Bitcoin is not moving in tandem and is instead showing the opposite trend. In the chart, gold prices continue to climb, while the correlation drops below zero, underscoring a growing decoupling.
Meanwhile, the market is increasingly viewing gold as benefiting from safe-haven demand amid geopolitical tensions and tariff concerns, while Bitcoin is seen moving more like a risk asset.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
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