Investors Opt for Gold Over Bitcoin Amid Market Volatility, JP Morgan Analysts Suggest
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Recent analysis from JP Morgan reveals that investors are currently shifting their focus from Bitcoin to gold as they seek stability amid ongoing market volatility. This trend underscores a growing perception of gold as a more reliable safe haven compared to Bitcoin, especially in the wake of geopolitical tensions and economic uncertainties. According to the JP Morgan report, “Bitcoin has failed to benefit from the safe haven flows that have been supporting gold in recent months,” indicating a significant shift in investor sentiment. JP Morgan indicates a preference for gold over Bitcoin as the ultimate safe haven asset amid market volatility, reflecting a shift in investor behavior. Investors Favor Gold Over Bitcoin Amid Market Turbulence JP Morgan’s latest report suggests a notable trend where gold is becoming the asset of choice for investors seeking refuge from market fluctuations. As volatility increases, particularly from geopolitical uncertainties and economic concerns, the appeal of gold as a traditional safe haven has drawn renewed interest. In contrast, Bitcoin’s reputation as “digital gold” has not translated into the same level of investor confidence. Analysts observed that following President Trump’s global trade policy changes, there has been a surge in investments in gold exchange-traded funds (ETFs), while Bitcoin assets have seen a decline. Bitcoin’s Struggles Against Market Headwinds The ongoing sell-off in Bitcoin comes despite its earlier rise, which was largely fueled by speculative trading and interest in emerging digital assets. Historically, Bitcoin has shown correlation with gold, but recent trends indicate that it has begun to align more closely with the performance of U.S. equities, specifically in the tech sector. The report highlighted that Bitcoin was trading near $85,000, slightly above its April starting point, and referenced the substantial drop from its late January peak. Analysts pointed out that while gold has surged over the…
Filed under: News - @ April 18, 2025 3:27 am