Bitcoin and precious metals are reaching new all-time highs as the US dollar is set for its worst year since 1973. The S&P 500 is up over 40% in the last six months, Bitcoin hit over $125,000, and gold is trading near $4,000 per ounce. Analysts attribute this to a “generational” macroeconomic shift.

The correlation between gold and the S&P 500 hit a record 0.91 in 2024, indicating a rush into assets due to inflation and weakening labor market. The USD is on track for its worst year since 1973, losing over 10% year-to-date. This is positive for Bitcoin prices and reflects a new monetary policy.

BTC’s new all-time high is driven by macroeconomic factors like the US government shutdown, according to analysts. The shutdown has renewed investor interest in Bitcoin as a store-of-value asset, amidst political dysfunction and eroding faith in traditional institutions. This signals a positive trend for Bitcoin’s future performance.

Read more at Cointelegraph: Bitcoin Hitting New ATH While US Dollar Collapses: Analyst