Gold Hits Record High as Bitcoin Pulls Back Amid Crypto Caution

Gold and silver hit record highs as major US indices rise; Bitcoin retreats slightly amid strong gains in AI-focused crypto mining stocks following Alphabet's $4.75B acquisition of Intersect.

  • Gold reached a record high of $4,475 per ounce, with silver also hitting a new peak near $70 per ounce.
  • Major US indices, including the Nasdaq and S&P 500, gained about 0.6%, while the U.S. dollar index declined by 0.3%.
  • Bitcoin retreated from above $90,000 to approximately $88,300 amid broad asset gains.
  • AI-focused crypto mining stocks saw strong gains following Alphabet’s $4.75 billion acquisition of AI startup Intersect.
  • ByteTree analysts highlighted that bitcoin may struggle to rally until the uptrend in precious metals slows, noting silver’s recent gains closely matching bitcoin’s eight-year performance.

During Monday’s U.S. trading session, gold surged 2% to a record $4,475 per ounce, with silver up 1.6% and reaching nearly $70 per ounce. The Nasdaq and S&P 500 each gained 0.6%, while the U.S. dollar index fell by 0.3%. Despite earlier climbing above $90,000 during Asian and European sessions, bitcoin retreated to about $88,300 but remained positive over the past 24 hours. Other cryptocurrencies like ether ($2,986), solana ($125), and xrp ($1.91) also gained but pulled back from previous highs.

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Crypto-related stocks centered on AI infrastructure and high-performance computing outperformed significantly. Alphabet’s acquisition of AI start-up Intersect for $4.75 billion boosted the sector, with the company stating the deal will accelerate data center capacity and energy innovation. Among miners, Hut 8 (HUT) led with a 17.5% gain, followed by IREN (IREN), Cipher Mining (CIFR), and Bitfarms (BITF) up 5% to 10%. Other sector players like Circle (CRCL), Coinbase (COIN), Bullish (BLSH), and Galaxy Digital (GLXY) rose 2% to 4%, while Strategy (MSTR), notable for its bitcoin holdings, increased by 0.3%.

A Monday report by ByteTree analysts led by Charlie Morris and Shehriyar Ali noted, “bitcoin and crypto are unlikely to shine until this bull market in precious metals comes to a pause.” Despite bitcoin’s past outperformance over metals, silver’s recent parabolic rise has nearly matched bitcoin’s return over the last eight years. Additional context and analysis are available in the report here.

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