WASHINGTON (dpa-AFX) - Cryptocurrencies are trading on a subdued note even as Gold rallied to scale a fresh peak. Gold's fresh all-time-high and Bitcoin's sluggishness came amidst growing risk aversion and rising expectations of rate cuts by the Federal Reserve.
Spot Gold rallied 0.12 percent overnight to trade at $2,992.57 per troy ounce. The day's trading ranged between $2,980.93 and $3,004.95 whereas the 52-week trading ranged between $2,146.05 and $3,004.95.
Gold Futures (for April settlement) also jumped 0.46 percent overnight to $3,005.11. The day's trading ranged between $2,994.4 and $3,017.11 whereas trading ranged between $2,149.2 and $3,017.11 during the 52-week period.
Bitcoin edged up 0.2 percent in the past 24 hours to trade at $83,176.23. Bitcoin traded between a high of $83,736.09 and a low of $79.931.85 during the past 24 hours and between a high of $109,114.88 and a low of $49,121.24 during the past 52 weeks.
The contrast and rivalry between Gold and Bitcoin have undoubtedly intensified in 2025. The intense competition has the potential to turn this into one of the biggest battles for supremacy in the financial world.
For centuries, gold has been a store of value during uncertainty. The current market capitalization of $20.2 trillion enjoyed by gold is attributed in a big way to this legacy demand. Nevertheless, Bitcoin which was unveiled in 2008 has been able to challenge gold's hegemony by rising to a peak market capitalization of $2.02 trillion. Market capitalization is currently at $1.6 trillion.
Gold futures have surged 13.9 percent on a year-to-date basis. The unprecedented turbulence on the trade tariff front, the persisting geopolitical tensions and renewed rate cut hopes have aided the surge in the prices of the yellow metal. The aggressive gold buying attributed to central banks has also helped gold prices skyrocket. In contrast, Bitcoin has shed 10.9 percent on a year-to-date basis as markets reconcile to the lesser-than-expected level of crypto-friendly initiatives from the new U.S. administration.
Amidst the ongoing rivalry between gold and Bitcoin, there has also been a growing narrative surrounding the digitalization or tokenization of real-world assets. This involves creation of cryptocurrencies focused on real world assets representing physical or financial assets outside the blockchain such as real estate, bonds, commodities and the like.
With the prospect of tokenization of real-world assets, which is essentially bringing off-chain assets on-chain, the spotlight has also turned on tokenizing precious metals like gold and silver. The tokenization of gold allows for fractional ownership and easier trading. Currently, the Tokenized Gold category comprises of 5 cryptocurrencies ranked by coinmarketcap.com. These include 89th ranked PAX Gold (PAXG), 77th ranked Tether Gold (XAUt), 346th ranked GoldPro Token (GPRO), 900th ranked Comtech Gold (CGO) and VNX Gold (VNXAU), ranked 1930 overall.
Closely tracking the surge in gold prices, most of these cryptocurrencies have recorded strong year-to-date gains in 2025. XAUt, PAXG and CGO have added more than 14 percent till date in 2025 followed by VNXAU that has gained 11.9 percent. Despite overnight gains of close to 35 percent, GPRO is however trading with year-to-date losses of 47.5 percent.
The growing institutional investment in investment products based on digital assets indicates that the battle between gold and Bitcoin would intensify further. The CoinShares' Digital Asset Fund Flows Weekly report for the week ended March 7 showed aggregate assets under management at $142.5 billion.
Despite the whipsawing nature of crypto prices and the recent decline in market capitalization, market watchers are aware that cryptocurrencies have demonstrated an uncanny potential to bounce back. Markets are hopeful of supportive regulatory environment and industry-friendly initiatives lifting market capitalization from the current level of $2.69 trillion.
Bitcoin is currently trading at $83,176.23 edging up 0.2 percent on an overnight basis. Ethereum has added 0.74 percent overnight to trade at $1,905.09. With overnight gains of close to 3 percent, XRP is trading at $2.32. BNB is trading almost flat at $580.27 whereas Solana has edged down a quarter percent to $126.37. Cardano and Dogecoin have both shed more than half a percent overnight while TRON has added 1.4 percent overnight to trade at $0.2216.
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