Yeliz Akmaca 
Gold surged to an all-time high of $4,381 per ounce on October 21, only to sharply correct the following day. The precious metal fell more than 6%, marking the steepest daily drop since 2013. This sudden gold price crash has raised questions about safe-haven demand and potential capital shifts in the market. Professional trader Peter Brandt noted that gold lost around $2.1 trillion in market value in a single day, equivalent to more than half of the total cryptocurrency market capitalization.
Bitcoin Pullback: $108K After $114K Peak
Meanwhile, Bitcoin (BTC) fell from a peak of $114K to $108K. Analysts emphasize that this pullback does not negate the overall trend, and long-term capital rotation may still favor digital assets. Market research firm Swissblock noted that a similar pattern occurred earlier this year: in April, gold lost 5% in three days while Bitcoin remained stable before launching a strong rally. This indicates that short-term corrections may be seen as long-term opportunities by investors.
Shifting Power Between Gold and Bitcoin
The sharp decline in gold highlights Bitcoin’s potential as a store of value. For crypto investors, this period signals three key points:
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Liquidity Rotation: Capital may move from gold to digital assets.
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Macro Trend: As inflation pressures ease, Bitcoin’s “digital gold” perception strengthens.
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Price Behavior: Short-term corrections can be part of longer bullish cycles.
Binance founder CZ summarized this dynamic: “Bitcoin will eventually surpass gold. I don’t know exactly when, but it’s inevitable.”
Even though BTC is currently at $108K, the gold price crash could create a structural opportunity for digital assets. Analysts suggest that the shift from gold to Bitcoin may continue, marking the next phase in the ongoing competition between traditional and digital assets.
Conclusion: Gold Falls, Bitcoin Stabilizes
The gold price crash has reshaped investors’ risk perception. Bitcoin’s short-term pullback does not diminish its long-term role as digital gold. If current trends persist, capital rotation from gold to digital assets may define the next major movement in financial markets.
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