As Bitcoin faces pressure against the US dollar, the gold ratio drops to its lowest level since November 2023.

According to The Kobeissi Letter data, the strong position of precious metals relative to cryptocurrencies is becoming increasingly evident. In the market at the end of December, both major exchange rates of Bitcoin against precious metals experienced significant declines, reflecting the rising attractiveness of traditional safe-haven assets amid the pressure on Bitcoin against the US dollar.

Silver Performance Reversal, Key Breakthroughs Compared

The relative performance of silver versus Bitcoin shows a stark contrast. According to data, the Bitcoin-to-silver ratio has fallen to 1,104, the lowest level since September 2023, with a cumulative decline of up to 67% since May this year. This means more Bitcoin is needed to exchange for the same value of silver, fully demonstrating silver’s relative strength during this period.

Gold Ratio Hits New Low, Historical Benchmarks Are Referable

As a leading traditional safe-haven asset, gold’s performance is equally noteworthy. The Bitcoin-to-gold ratio has dropped to 19, reaching a new low since November 2023. From a longer-term perspective, this ratio has fallen by 50% since January this year, highlighting the subtle changes in the relative value between gold and Bitcoin.

Compared to historical highs, during the lowest point of the 2022 bear market, the Bitcoin-to-silver ratio once reached 680, and the Bitcoin-to-gold ratio was 9. In comparison with current data, both ratios have significantly rebounded, reflecting the relative increase in the value of precious metals since the bear market lows. It also indicates that in the current market environment, the value relationship between cryptocurrencies—represented by Bitcoin against the US dollar—and traditional precious metals is continuously adjusting.