Risk Aversion Boosts Gold While Hurting Bitcoin as Market Shows Caution
Bitcoin traded within the range of $87,100 to $87,500 after failing to sustain gains above the $90,000 mark. This price movement coincides with a market mood marked by risk aversion, which has spurred a rally in gold and a decline in the dollar index below 98.
Gold futures rose about 1% to roughly $4,516 per ounce as the weakening dollar bolstered demand for safer assets. In the crypto space, HASH and RAIN stand out as the only top-100 tokens by market capitalization to gain more than 6% in the last 24 hours.
The Bitcoin hashrate experienced a steep decline over the past 30 days, marking the largest drop since April 2024. This decrease is typically associated with miner capitulation and could signal potential market bottoms.
Meanwhile, the Japanese yen strengthened against the dollar amid speculation that the Bank of Japan might intervene to curb its slide.
Additionally, the U.S. Bureau of Economic Analysis is set to release the preliminary estimate for the third quarter GDP at 8:30 a.m. ET, with economists anticipating annualized growth of approximately 3.2% to 3.5%.
Lastly, Crypto Daybook Americas announced it will be on hiatus starting Wednesday and plans to resume publication on January 5.
