Gold needs to outperform $ETH
Has it? What signals is the market releasing?
📌 Current performance comparison
PAXG (Gold): 4,501.89 (+0.01%)
ETH: 2,928.5 (-0.34%)
A hot topic in the market recently is: gold continues to strengthen, while ETH performs weakly. Is capital 'voting with its feet'?
📈 Why is gold so strong?
Since entering 2025, gold has been continuously breaking historical highs, driven by multiple macro factors:
• Rising uncertainty in geopolitical situations, increasing demand for safe-haven assets
• Rising expectations for a decline in real interest rates
• Central banks and ETFs continue to accumulate
• Growing long-term concerns about fiat currency purchasing power
Currently, many large investment banks and analytical institutions have extended their bullish outlook on gold to 2026, further consolidating its position as a macro safe-haven asset.
🔵 So is gold 'surpassing' ETH?
From a price perspective, not really.
Gold and ETH fundamentally serve completely different roles:
• Gold: value storage, macro hedge, low volatility
• ETH: risk asset, driven by DeFi, staking, L2 expansion, on-chain activity
The current market is undergoing a risk preference contraction → rotation towards safe assets, which naturally favors gold over growth assets.
🧠 Why is this comparison worth noting?
• When macro uncertainty rises, funds often first flow into gold
• ETH typically performs better during liquidity expansion and warming risk preferences
• A strong gold price does not mean ETH is invalid, but rather reflects the market being in a defensive phase
📊 From a long-term perspective
This is not about 'gold replacing ETH', but rather reminding us:
• Different assets have their advantages in different macro cycles
• In the current phase, gold dominates the 'panic and defensive trading'
• ETH may need clearer catalysts (ETF funds, DeFi recovery, on-chain demand warming) to regain strength
🔍 Market insights
Gold's strength reflects that global markets remain cautious.
Once the liquidity environment improves, historical experience shows that risk assets like ETH often experience a catch-up rally.
📌 The current question is:
Are we still in a defensive macro phase,
or have we already reached the starting point for the next round of capital rotation?
$PIPPIN
