For years, Bitcoin (COIN:BTCUSD) supporters have promoted the cryptocurrency as “digital gold,” arguing that both assets serve as stores of value, generate no income and are inherently difficult to value. That comparison is now being re-examined as gold’s (PM:XAUUSD) rally accelerates and Bitcoin’s volatility remains pronounced.
According to Yardeni Research, “both the cryptocurrency and the precious metal are impossible to value because they don’t pay any interest or dividends.” The firm notes a key structural difference between the two: Bitcoin’s supply is fixed by design, while higher gold prices can incentivise additional mining, gradually increasing available supply.
Yardeni also highlights practical distinctions. Bitcoin exists entirely in digital form and could, in theory, face future technological vulnerabilities. Gold, by contrast, is a physical asset that requires storage but is insulated from digital risks.
Price behaviour over the past decade underscores the contrast. Bitcoin spent much of the 2017–2019 period below $10,000, surged to almost $70,000 in 2021, fell back under $20,000 in late 2022, then climbed to nearly $125,000 in late 2025 before retreating toward $90,000. Gold’s trajectory has been far steadier by comparison.
The precious metal broke convincingly above $2,000 an ounce in March 2024 after several years of consolidation, signalling the start of a powerful uptrend. Yardeni points out that gold has risen about 2.5 times since that breakout, while silver has gained roughly 3.7 times following its own technical move higher in early May 2024.
After gold moved beyond $3,000 in early 2025, Yardeni began to outline a far more ambitious scenario, projecting a potential climb toward $10,000 by the end of the decade. “That would be a five-fold increase from its breakout to new highs in 2024,” Yardeni said.
Gold’s latest record highs followed comments from President Donald Trump that “the dollar is doing great,” a remark Yardeni interprets as an implicit endorsement of a weaker currency. A softer dollar can be a headwind for Bitcoin by reducing its value in foreign-currency terms, potentially encouraging overseas investors to trim positions and rotate into gold instead.
“A weaker dollar may put upward pressure on U.S. inflation, which would also boost the price of gold,” Yardeni said.