Traditional Gold Beats BTC By 70% Over Past Year

Traditional gold has outperformed Bitcoin by more than 70 percentage points over the past year. Gold prices rallied 28 percent from $3,400 to $4,330, while Bitcoin dropped 44 percent from $117,000 to $65,000. Over a three year window, holding physical gold instead of Bitcoin would have yielded better returns, challenging the long standing narrative of digital gold as a reliable store of value.

Bitcoin hit an all time high near $126,200 on October 6, 2025, before sliding nearly 48 percent. Meanwhile, gold reached a record high of $5,589 per ounce on January 28, 2026. While the precious metal has since pulled back, it retained its yearly gains, whereas Bitcoin halved in value over the same timeframe. Central banks continued backing the traditional metal by adding 863 tonnes to sovereign reserves in 2025, and gold exchange traded funds saw massive inflows of over 800 tonnes.

At the same time, the crypto sector faced internal pressures. Major holders sold tokens, community debates sparked talks of a blockchain hard fork, and hardware wallets hit technical snags. Supporters still point out that Bitcoin holds massive historical gains from the past decade. Traders will now watch to see if crypto markets can regain momentum or if traditional assets will hold their lead through the rest of the year.