From Yahoo Finance: 2025-05-28 11:09:00

Gold could soar to $4,000 per troy ounce by mid-2026, says Goldman Sachs’ Daan Struyven, positioning gold as a superior hedge compared to Bitcoin due to supply scarcity and investor demand amid inflation fears. Gold is currently priced at $3,310.74, while Bitcoin is trading at $109,000.

While Bitcoin has strong historical returns, Struyven warns of its volatility, making it a less reliable hedge than gold. He notes Bitcoin’s correlation with tech stocks as a concern, saying both Bitcoin and equities perform well when risk sentiment is positive.

Bitcoin, often called “digital gold,” shares key characteristics with the precious metal, including scarcity and its role as a hedge against inflation. Both have limited supplies, with Bitcoin’s capped issuance of 21 million mirroring gold’s physical scarcity on Earth.

Beyond scarcity, Bitcoin offers portability, divisibility, and verifiability, making it an efficient store of value. Institutional investors and financial firms are embracing Bitcoin as a modern, tech-enabled alternative to gold, reinforcing its nickname as “digital gold.” Goldman Sachs analyst predicts $4,000 gold as a better hedge than Bitcoin.

Read more: Goldman Sachs analyst predicts $4,000 gold, calls it a better hedge than Bitcoin