Gold vs. bitcoin: Which asset should investors be buying?

Yahoo Finance Video

Wed, February 25, 2026 at 1:00 AM GMT+9

In this video:

BTC-USD

-2.35%

Crypto asset bitcoin (BTC-USD) is hovering just above $63,000 per token — having fallen below the $65,000 benchmark earlier this week — while gold (GC=F) ticks down but still sits above $5,000 per ounce. Should investors be all in on the so-called “digital gold” or actual gold amid recent sell-offs in the assets?

Sevens Report Research founder Tom Essaye, Yahoo Finance Senior Reporter Ines Ferré, and Yahoo Finance Markets and Data Editor Jared Blikre examine gold and bitcoin’s past performances amid volatile periods.

To watch more expert insights and analysis on the latest market action, check out more Opening Bid.

Video Transcript

00:00 Speaker A

Bitcoin is on pace to have its worst month since 2022 with the coin hovering close to $63,000 this morning. And at the same time, gold is declining, snapping a four-day winning streak. It’s still holding above that $5,000 milestone for now. So what should investors be looking at right now? Digital gold or the real thing? So let’s start with you Jared, break down where we’re at this morning and sort of what we’ve seen year to date when it comes to both of these trades.

00:33 Jared

Sure, let’s start with Bitcoin here and I’ll go back to the Wi-Fi interactive. We’re looking at a sea of red and this is just what happened over the last 24 hours. And let’s kind of uh walk back. Well, I’ll put a one-year chart on Bitcoin here. We peaked out in uh the fourth quarter in around late September, early October after just kind of flat lining for a while. And we tried to stabilize around just above 80,000 and then we took that plunge. So now we’re about 52% underwater. And I went back and I compared the current period. This is a four-year period, uh with 2019 through 2022. So the blue line here is where we are currently. This goes back to uh 2023. And the white line is that 2019 to 2022 period. And what you can see is and this doesn’t have to ma match perfectly, but it’s a nice analog to keep in mind. Uh we can go down from here and the point with Bitcoin I think is that it takes a while to find a bottom. In especially in stocks and stock indices, uh bottoming is a process and that’s something you gotta, you gotta wait through and you gotta wait through it. You know, kind of very similar to software. Investors have to get tired and then you need a new narrative and then everybody kind of jumps on board a little bit too late uh once that narrative has already been baked into price. So I don’t know that we’re at the low’s just yet. I’ve heard 50,000, I’ve heard 40,000 and that’s still quite a ways away from the current price uh what we’re looking at right now, which is basically 63,494.

01:50 Speaker A

up up up a little bit or rather, uh uh Tom, I do want to get to you because Jared said that he doesn’t think that the bottom is near. What is your message to investors right now and are you looking more so at gold or at cryptocurrency, Bitcoin?

02:11 Tom

So, uh if I had to buy something today, I would be buying Bitcoin, although I would be doing it knowing that I’m probably not buying the bottom. I think Jared’s right. I mean there there there is no fundamental bottom for Bitcoin, right? I mean, there’s no earnings or discounted cash flow we can look at. So it’s just at what point does sentiment become washed out and people think there’s enough value to step in. However, the reason I prefer Bitcoin today over gold is because every month in the Seven’s report, we do a Bitcoin and cryptocurrency industry update. And the amount of fundamental use of of large players that are that are integrating into cryptocurrencies that are buying Bitcoin to hold on their treasury stock. It’s it’s becoming more and more mainstream and it’s not an exciting event. It’s not going to create headlines. Even you guys announcing this morning, your partnership with Coinbase. This is in the the the sort of financial mainstream now. And so I think that that creates fundamental demand that over time will create a bullish thesis. Now, it doesn’t mean it can’t go down to 40,000 in the short term. We all know how Bitcoin trades, but I think as I look out, I’d rather be buying buying Bitcoin down at these levels than necessarily chasing gold above 5,000.

03:22 Speaker A

And as let’s play devil’s advocate here. You’ve been watching those year end gold targets. What is the street saying about what this could turn into?

03:32 Inez

The street’s pretty much bullish on gold, even though we have seen volatility with gold, uh, especially at the end of January. I mean, you’ve got some price targets out there that JP Morgan 6300 by the end of the year is their price target. You also have Wells Fargo forecasting anywhere between 61 and 6300. and then you’ve got uh Goldman Sachs that’s looking at 5400, but they’re also looking at an upside risk, uh a large upside risk if there’s private uh sector diversification. I mean, the three pillars of why gold is rallying or has been rallying and will continue to rally according to Wall Street is because of that Central bank Central bank purchasing, uh, especially also from China. China’s a big buyer of gold and other precious metals and then you’ve got the trade uncertainty, geopolitical risks, and the expectations that the Fed is going to ease. I mean, you’ve got Polymarkets that’s suggesting uh that anywhere between two and three um rate cuts this year. So, uh those are the drivers of gold. The street still bullish even though we’ve seen volatility and you think, can it go higher from here? Well, they’re saying yes.

04:30 Speaker A

Yeah. And as we even heard from Ed Yard Danning saying in a note that by 2029, this tariff turmoil could end up leading to $10,000 per ounce. We’ll definitely have a lot to watch, but a big, big thank you to Tom Essay, Jared Blickery and Inez Ferre. Thank you for all for joining the opening bid panel. I appreciate it. I’ll see you all soon.

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