Why a selloff in gold and silver is dragging bitcoin down

A broad unwinding of the so‑called debasement trade is hitting gold, silver and bitcoin at once as investors retreat from scarce assets that were seen as protection against currency erosion. A newly hawkish Federal Reserve under Chair Kevin Warsh and a firmer dollar have lifted real yields, making non‑yielding assets like gold, silver and bitcoin less attractive and, for foreign buyers, more expensive.

For much of the past two years the three were treated as one basket. Gold and silver are the oldest stores of value, and bitcoin, with a supply capped at 21 million coins, was marketed as the digital version. Through 2025 money poured into all three as the dollar looked vulnerable, and now the same forces are reversing that flow.

The shift shows up in prices. Gold fell below $4,000 for the first time since November earlier this week, silver has lost more than half its value from its high, and bitcoin slipped to nearly $58,000.

United States

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