Gold -supported cryptocurrencies are better than the wider market in the midst of a historic rally for precious metal, up to about 9.7% so far this year for a new record of $ 2,880 per year. Ounce in the middle of growing trade war tensions.

Pax Gold (PAXG) and Tether Gold (Xaut) have benefited greatly from noble metal rise, both rising approx. 10% in line with the spot price for gold. Each of these tokens is supported by a Troy ounce of gold hidden in a vault.

It is not surprising, in the traditional market, goldgruve workers have also risen. Vaneck Gold Miners ETF (GDX), an Exchange Foundation (ETF), which tracks goldgroup workers, has risen nearly 20% this year that surpasses the S&P 500.

Price action has seen the supply of these symbols grow, with token mint surpass burns of millions of dollars weekly. According to RWA.xyz data, transfer volume to gold-supported cryptocurrencies has increased more than 53.7% month over the month.

Gold’s award has risen this year over customs threats from both the US and China, the spring festival holiday in the latter country and a broader tendency for growing demand. Last year, demand for noble metal hit 4,945.9 tonnes worth around $ 460 billion, according to World Gold Council.

Meanwhile, most major cryptocurrencies have been fighting so far this year. Bitcoin experienced a modest 3.6% increase, which led the Bitcoin gold ratio to a 12-week low, while ether is down more than 17.6%. Coindesk 20 index has risen just about 0.5%.

“Gold’s Rally and Bitcoin’s DIP is not a failure in the ‘Digital Gold’ narrative – they are a setup,” Mike Cahill, nuclear contributor to Pyth Network, told Coindesk in a written statement. “Right now, trade war’s fears and a strong dollar are on the run from a flight to traditional safe garden, but when liquidity returns and risks appetite tasks, Bitcoin could catch up in a big way.”

“Smart investors know that BTC is still the hardest asset next to gold, and when Trump’s pro-crrypto attitude is materialized to actual policy, Bitcoin stands in favor of massive,” he said.