Bitcoin fell below $86,000 while gold rose above $5,000.
Gold rose $5,000 amid geopolitical and global trade tensions, while Bitcoin fell to $86,000 as the gap between the two assets widened.
Gold rose to $5,080 on Monday after a 17 percent gain this year, according to a gold price report, as fears of a possible U.S. government shutdown and uncertainty over the Trump administration's threat of tariffs sent traders flocking to the precious metal.
“The government shutdown has added fuel to the fire,” Kobeisi's letter on Monday said.
Trade tensions escalated in another weekend of tariff threats as US President Donald Trump threatened to impose 100% tariffs on Canada's trade deals with China.
Gold beat Ether (ETH) to the $5,000 milestone in early October, capping polymarket bets on which asset it could reach first. The price of ETH fell below $2,800 on Sunday and is now down more than 40% from its August all-time high of $4,946.
Silver also topped $107 an ounce for the first time in history and is up 48 percent so far in 2026.
Bitcoin and Gold's Correlation Will Disintegrate.
Bitcoin (BTC) lost 1.6% on the day, erasing all of its gains this year, falling to a five-week low below $86,000 on Coinbase on Sunday.
Bitcoin is now 30% below $126,000 in October as the gap between the digital asset and gold widens.
RELATED: Bitcoin Sells Off Weekly Close As Bulls Face $86K BTC Price Calculation
Investors want gold more than Treasuries
Jeff May, chief operating officer of the BTSE exchange, said gold is rallying, and cryptocurrencies are down as the prospect of a US government shutdown at the end of the month increases.
“Furthermore, as the economy is showing strong growth and employment numbers, markets are pricing in the possibility that the Fed will keep interest rates at their current level,” May told Cointelegraph.
“Typically, in times of uncertainty, capital moves to safer assets like US Treasuries and gold, but with a possible government shutdown and Trump's recent threat of tariffs on Greenland, global investors are leaning towards Treasuries and more towards gold,” he added.
Magazine: GameStop May ‘Sell' Bitcoin Holdings, Ethereum Prepping for Quantum: Hodler's Digest
