The price of gold has set a new historic high, exceeding $3728 per ounce on September 22, 2025. This occurred against the backdrop of a significant correction in the cryptocurrency market, which may signal a reallocation of capital among different asset classes.
This is reported by Business • Media
Rapid Rise of Gold Amid Cryptocurrency Market Correction
Starting from the morning of September 22, gold showed a steady increase, with its price consistently holding above $3720 per ounce. In parallel, Bitcoin and other cryptocurrencies experienced a sharp decline, coinciding with an uptick in demand for precious metals. Analysts note that the rise in demand for safe-haven assets, particularly gold, occurred precisely against the changing market dynamics of cryptocurrencies.
Experts attribute the increase in gold prices to the recent cut in the Federal Reserve’s interest rates, which has already begun to impact global financial markets. KCM Trade’s chief market analyst, Tim Waterer, stated:
“Today, gold is gaining momentum again as traders focus on the potential for price growth from this point until the end of the year, supported by the anticipated further rate cuts by the Fed.”
According to specialists, if the macroeconomic situation remains favorable, further easing of the Fed’s monetary policy could further support the rise in the value of precious metals.
Changing Investor Sentiment and Dynamics of Other Metals
Not only gold is showing positive dynamics: the spot price of silver rose by 1.3% to $43.6 per ounce, marking the highest level in the past 14 years. Platinum increased by 1.2% to $1420.4, while palladium rose by 1.2% to $1163.2 per ounce. This indicates a growing interest among investors in safe-haven assets during periods of uncertainty in financial markets.
Henry Allen from Deutsche believes that the effects of the interest rate cut have already manifested in the market, and the current spike in prices for safe-haven assets is linked to fears of a worsening economic situation in the U.S. Traditionally, gold is considered an indicator of investor fear during periods of tight monetary policy.
At the same time, Bitcoin, often referred to as “digital gold,” has recently been losing its status as the primary hedge asset due to increased correlation with macroeconomic factors. Experts point out that the flow of liquidity from the cryptocurrency market to the precious metals market may intensify if current trends persist.
Thus, the new historic high for gold reflects a shift in investor sentiment, as they opt for more conservative instruments to protect their capital during periods of market turbulence.