Gold as measured by the SPDR Gold Trust (NYSE:GLD) smashed through $4,200 per ounce on Wednesday after Fed Chair Jerome Powell hinted at fresh rate cuts, while Bitcoin (CRYPTO: BTC) continues to languish around $112,000.
Gold Extends Historic Rally On Policy And Geopolitics
Gold has gained more than 25% since mid-August, aiming for its ninth straight weekly green close.
Fed Chair Powell told the National Association for Business Economics on Tuesday that slowing U.S. hiring poses an increasing threat to growth, a remark traders interpreted as support for two more cuts this year.
Falling real yields and geopolitical strains have amplified the move.
President Donald Trump accused China of "economically hostile" behavior after it halted soybean imports and warned of possible retaliation, including a cooking-oil embargo.
Beijing responded with new sanctions against five U.S. units of South Korea's Hanwha Ocean.
The prolonged U.S. government shutdown has added to the uncertainty, fueling further demand for safe-haven assets.
Gold Price Analysis (Source: TradingView)
Technically, gold trades well above its 20-day EMA at $3,916, with the RSI near 83, indicating overbought conditions but strong momentum.
Pullbacks toward $3,950–$4,000 are likely to draw buyers, with the next resistance at $4,300–$4,350.
Bitcoin Struggles As Whales Accumulate
BTC Technical Analysis (Source: TradingView)
Bitcoin meanwhile has fallen back below its short-term moving averages after rejecting resistance near $124,000.
The token remains inside a broad rising channel, with $111,000–$112,000 serving as key support and the 200-day EMA near $108,100 acting as the final floor for the bullish structure.
The Supertrend indicator has turned bearish, reflecting fragile sentiment.
BTC Netflows (Source: Coinglass)
On-chain data from Coinglass shows over $800 million in BTC outflows across the past three sessions, a sign of ongoing distribution.
Large holders, however, appear to be quietly accumulating during the dip.
Trade-war headlines added pressure. After Trump's initial conciliatory tone briefly lifted sentiment, new port fees imposed by both Washington and Beijing on shipping firms triggered renewed selling in Bitcoin and Ethereum (CRYPTO: ETH).
Why It Matters
Gold breaking $4,200 is not just a chart milestone, it is a signal that investors are treating it as the ultimate hedge against a weakening policy backdrop.
At the same time, Bitcoin holding the $111,000 zone shows that even in an environment of fear and liquidity stress, crypto remains in the conversation as an alternative store of value.
When the world's two most polarizing assets react differently to the same macro shocks, it highlights a deeper shift: markets are no longer asking whether digital assets belong in portfolios, but how they stack up against gold in times of crisis.
For investors, $111,000 is the key near-term support for Bitcoin. A rebound from that zone could retest $116,000–$118,000, while failure risks a slide toward $108,000.
Gold's structure stays firmly bullish as long as prices hold above $3,950, keeping the path open to new records.
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