Gold Reaches New Highs as BTC Climbs Above $64,000

The global markets reflect a positive outlook as several assets post notable gains. Gold hit a new record high following an over 5% surge in two weeks.

Similarly, the crypto market recorded significant gains, with Bitcoin crossing the $64,000 region and altcoins playing in the green. Amid the bullish movements, analysts predict more price rallies in the coming days.

The progress came after interest rate cuts and drops in tensions across key geopolitical zones.

Gold Hits a New High Following Fed's Rate Cut

According to data from GoldPrice.org, gold's price reached $2,629 per ounce on September 23, marking its highest-ever peak. It has surged by over 5% in the past 14 days.

Gold garnered more momentum following the US Federal Reserve's recent 50 basis point rate cut on Wednesday, September 18. The interest rate drop makes rate-based assets like the government's short-term bonds less attractive while favoring inflation hedges like gold.

Also, the appeal for gold investment increased due to some geopolitical risks the Russian-Ukraine and Israel-Hamas wars, and the upcoming US election. According to Goldman Sachs's recent report, global central banks' gold purchasing volume has tripled since the Russian invasion of Ukraine in 2022.

Based on the recent outplay, some Wall Street analysts predict more rallies for gold prices. They believe further Fed-rate cuts could take gold to the $2,700 region by early 2025.

Conversely, Peter Boockvar, Bleakley Financial Group's Chief Investment Officer (CIO), offered a different perspective regarding gold price flow. He pointed out that the precious metal has yet to reach its 1980's inflation-adjusted peak of $3,200.

Also, famous Bitcoin critic Peter Schiff took to X to laud gold's new price growth. He mentioned that while many people are focused on Bitcoin, they miss out on significant gains that come via gold's rise.

#Gold just hit another record high, but few investors notice or care. With so much attention focused on #Bitcoin, investors are not only missing out on gold's gains, but the significance of the rise. Gold is warning that money policy is too loose and #inflation is headed higher.

- Peter Schiff (@PeterSchiff) September 23, 2024

Bitcoin and Other Crypto Assets Reflect Positive Trend

Meanwhile, the crypto market is not left out in the positive trend following the US Fed's drop in interest rates.

Since last Wednesday, Bitcoin, often tagged as the digital gold, has surged over 8.5%. This price increase pushed Bitcoin to a month-high, according to CoinMarketCap data. Remarkably, Bitcoin hit a daily high of $64.119 on Friday, September 20.

Similarly, Ethereum and the other altcoins recorded significant gains ranging between 4% to 10%. BTC trades at $63,411, reflecting a 0.94% increase over the past 24 hours.

Moreover, Bitcoin has hit a daily high of $64,733 in the early hours of today. It boasts a market cap of $1.25 trillion, with a 55% dominance over the altcoins.

Meanwhile, some prominent crypto participants speak of more rallies in the coming weeks. Markus Thielen, CEO and founder of 10x Research, wrote about a potential major breakout for Bitcoin. He predicted that BTC could hit a new all-time high in the last quarter of this year.

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