Gold crashes 21%, hitting a 106-year record. After Bitcoin stays steady at $70,000, what is its future trend?

News from Gate: In March 2026, traditional safe-haven asset gold experienced a rare century-long decline, with prices dropping rapidly from a high of $5,193 per ounce to $4,098, a nearly 21% decrease, marking the longest consecutive decline since 1920. Although it rebounded to $4,559 afterward, the overall trend remains in a significant correction zone.

This decline is not merely a technical correction but reflects a shift in macro pricing logic. Bloomberg analyst Katie Greifeld pointed out that gold’s 10 consecutive trading days of decline indicate a reassessment of its safe-haven properties. During the same period, many gold ETFs saw large-scale outflows, while Bitcoin-related ETFs recorded approximately $2.5 billion in net inflows, showing a clear shift in capital flow.

In contrast to gold, Bitcoin maintained stability amid turbulence, consistently trading above $70,000. Despite tensions in the Middle East, rising oil prices, and increased uncertainty about interest rate paths, Bitcoin demonstrated stronger resilience and is gradually being viewed by some investors as an alternative store of value.

On the macro level, the Federal Reserve maintained interest rates in the 3.5%-3.75% range in March and signaled only one rate cut for the year, strengthening the dollar and putting pressure on non-yielding assets like gold. Meanwhile, rising energy prices boosted inflation expectations, keeping real interest rates high and further diminishing gold’s attractiveness.

In contrast, Bitcoin’s price drivers are increasingly detached from interest rate sensitivity, relying more on institutional allocations, ETF capital flows, and long-term asset allocation strategies. Currently, the correlation between gold and Bitcoin has fallen to -0.31, indicating a significant divergence in their price movements.

Despite short-term pressure, market opinions on gold’s long-term prospects remain divided. Peter Schiff considers this correction similar to the cyclical pullback in 2008, while JPMorgan and Deutsche Bank still maintain target ranges above $6,000 for gold in 2026.

The future trend will depend on geopolitical developments and monetary policy paths. If inflation subsides and triggers expectations of rate cuts, gold may regain support; meanwhile, Bitcoin continues to benefit from shifts in capital structure and expanding institutional demand.