Key Points
- Gold reached record highs above $4,550, gaining nearly 70% in 2025.
- Silver outperformed all major assets, delivering a massive 150% annual gain.
- Bitcoin fell 6% this year, dropping from $126,000 to $87,000.
- Analysts suggest investors are trading crypto for gold to find stability.
Investors in gold and silver are ending the year on a high note, while cryptocurrency fans have been left behind. As we wrap up 2025, the gap between traditional “safe” metals and digital coins has never looked bigger.
Gold futures recently climbed above $4,550, setting one of its many record highs this year. Silver performed even better, jumping to over $75 an ounce. That represents a massive 150% gain since the year began, driven by a real shortage of the metal used in electronics and solar panels.
On the other side of the fence, the crypto market is struggling. Bitcoin has dropped about 6% this year, and Ether has fallen even further, losing 12% of its value. This is a significant shock for many who expected Bitcoin to continue climbing after it reached a record high of $126,000 in October.
Instead, the price slid down to around $87,000 on Friday. For the first time in a decade, Bitcoin stopped tracking the stock market, leaving investors confused.
Famous critics are wasting no time saying, “I told you so.” Louis Navellier, a well-known investment manager, suggested that the crypto crowd should give up and switch to gold. He pointed out that gold is less volatile and backed by central banks. Meanwhile, gold bull Peter Schiff joked that if Bitcoin won’t go up when stocks and metals are rising, it probably won’t go up at all.
Why is crypto doing so poorly? Some analysts think it is just year-end “house cleaning.” Sean Farrell of Fundstrat explained that investors often sell losing investments at the end of December to offset tax losses. He thinks January might bring a bounce as investors put fresh money back into the market.
Research firms also note that Bitcoin has dropped 30% from its peak, a move that often signals a rebound is coming.
However, big banks are losing some of their excitement. Standard Chartered recently cut its year-end Bitcoin price forecast from $200,000 to $100,000. For now, 2025 belongs to the metals, demonstrating that even in a high-tech world, the oldest forms of currency still have significant influence.