Bitcoin vs Gold: Why BTC is Struggling as a Safe Haven Asset

Bitcoin (BTC) is facing scrutiny for its performance as a potential safe haven asset, particularly when compared to traditional gold. Analysts point to recent market behavior where Bitcoin's price has shown high correlation with risk-on equities during periods of economic uncertainty, rather than acting as a hedge. In contrast, gold has historically maintained or increased its value during market downturns, reinforcing its status as a store of value. The inherent volatility of the cryptocurrency market, driven by speculation and liquidity shifts, challenges Bitcoin's "digital gold" narrative. For Bitcoin to be considered a true safe haven like gold, it would need to demonstrate price stability and inverse correlation to traditional markets during crises, a test it has not yet consistently passed.