Gold’s market capitalization reached a new record of $30 trillion on Thursday after its price jumped to an all-time high of $4,357 per ounce.
This surge makes gold’s market cap 14.5 times larger than Bitcoin’s, which currently stands around $2.1 trillion.
Gold now also surpasses the combined market cap of the “Magnificent 7” tech giants—Nvidia, Microsoft, Apple, Alphabet, Amazon, Meta, and Tesla—which total about $20 trillion.
Gold’s rally and bitcoin’s lag
The price of gold has increased 64% since January 1, driven by investor concerns over dollar devaluation, global tensions, and trade disputes.
Analysts note that gold has added $300 billion to its market cap in a single day, with one stating:
“It’s been adding an entire Bitcoin market cap in one week. I don’t understand how most cannot see that as soon as gold stalls, BTC is going to rip.”
Analyst perspectives on capital rotation
Some analysts suggest that as gold’s rally cools, capital could rotate into Bitcoin, which is often referred to as “digital gold.”
Venture investor Joe Consorti commented:
“If Bitcoin can loosen its correlation with US equities [amid] the tense geopolitical backdrop, particularly if gold flows decelerate, perhaps this is the trade after the trade.”
Money supply
Analysts also highlighted the surge in global M2 money supply.
Market watcher ‘Merlijn the Trader’ noted that while gold is rallying, Bitcoin is lagging behind.
He argued this divergence is temporary:
“This divergence never lasts, liquidity always finds risk, [and] the catch-up rally will be brutal.”
