Bitcoin And gold (XAU) is diverged over the last 24 hours, with BTC probably feeling pressure from a strengthening dollar index.
The leading cryptocurrency by market value has dropped 2.4% to $ 121,340 after he has not been working with key resistance over $ 126,000 early this week, according to Coindesk data. Coindesk 20 index has fallen over 4% to 4,186 points.
The fall comes as the dollar index, which tracks Greenback’s exchange rate against a basket with Fiat currency, rose to 98.90, the highest level since August 5.
Strength in DXY typically weighs on USD-denomined assets such as BTC and gold. BTC’s price diagram suggests scope for a deeper decline to $ 118,000.
BTC hit a record high over $ 126,000 early this week when ETFs in US-Listed Spot Traits drew over $ 3 billion in the week ending Friday.
Gold -driven higher of ETF flows
While BTC’s rally has stopped, gold shows no sign of slowing down as its price per day. Ounce has risen past $ 4,000 for the first time in its story.
According to ing, the recent rally is catalyzed by an increase in influx to gold -bound stock exchangeed funds (ETFs).
“Investors are adding Gold-ETFs at a fast pace. Last week, gold-supported exchange-traded funds are being expanded again, with the total Gold ETF holdings to the highest level since September 2022. There is still room for additional additions, given that the current total remains shy for Tophit in 2020.
Prices have doubled in two years, spurred by central banks buying the yellow metal to diversify away from the US dollar. President Donald Trump’s aggressive trade policy and conflicts in the Middle East and Ukraine have added the bullish momentum.
Gold -backed tokens such as paxg (paxg) has also risen over $ 4,000. The total market value of all gold tokens has risen over $ 3 billion.
