Bitcoin is struggling to keep pace with gold as the precious metal continues to hit new highs, reigniting debate over whether the cryptocurrency can ever rival gold as a safe-haven asset.
Priced in gold, since hitting a high of about 37.2 ounces on Aug. 12, Bitcoin is down 18%, just 2% above official bear market territory. In fact, priced in gold, Bitcoin is currently almost 16% below its Nov. 2021 high. How do you square this dismal performance with all the hype?
— Peter Schiff (@PeterSchiff) September 6, 2025
Well-known gold advocate Peter Schiff has been vocal in highlighting Bitcoin’s recent underperformance. He noted that since August 12, Bitcoin priced in gold has dropped 18%, falling from a peak of 37.2 ounces to just above the official bear market threshold. Compared to its peak ratio in November 2021, Bitcoin is still down nearly 16% when measured against gold.
Meanwhile, gold has surged to an all-time high above $3,612 per ounce, marking a 36% increase year-to-date and 42% growth over the past 12 months. Schiff argues this underscores gold’s resilience as a reliable store of value, in sharp contrast to Bitcoin’s volatility.
Analysts Warn of Structural Risks for Bitcoin
Despite Bitcoin’s long-term growth, its recent weakness relative to gold raises concerns about its safe-haven credentials.
Bloomberg Intelligence analyst Mike McGlone warned that Bitcoin could face further downside if global markets falter. He suggested that Bitcoin, often tied to risk assets like equities, may drop sharply if a U.S. stock market correction occurs.
Most Commodities Go Down, Because They Went Up – This may also be Bitcoin’s problem. It’s capped at 21 million, but competitor cryptocurrencies are not — there are about 21 million now according to CoinMarketCap, compared with just one in 2009. If the U.S. stock market declines,… pic.twitter.com/FhLERNIXml
— Mike McGlone (@mikemcglone11) September 6, 2025
“Most commodities tend to fall after sharp rebounds, and Bitcoin may be following the same cycle,” McGlone noted. He added that Bitcoin’s 21 million supply cap doesn’t shield it from broader macroeconomic risks, especially as competing cryptocurrencies continue to expand.
The Bigger Picture of Bitcoin
While Bitcoin remains a high-growth asset in the long run, its recent performance highlights its fragility in times of economic uncertainty, reinforcing gold’s role as the ultimate safe-haven. Investors now face a critical question: Can Bitcoin ever truly replace gold as a store of value, or is its fate tied too closely to the broader risk-on markets? Checkout what our analyst says recently.
