How Does Bitcoin Compare to Gold and Silver Amid Precious Metal Craze?

Almost all major financial assets are finishing the year strongly in the green, but the most notable story of 2025 has been the extraordinary performance of the precious metals complex. Gold delivered an exceptional run — climbing from roughly $2,610/oz at the start of the year to a fresh all-time high near $4,550/oz, representing a year-to-date surge of roughly 75%.

Silver outperformed expectations even more aggressively, moving from about $29 at the start of 2025 to nearly $80 by late December, a stunning YTD rise of approximately 172% and a triple-digit performance that dramatically outpaced many risk assets.

By contrast, Bitcoin experienced a roller-coaster year. The digital asset reached several new all-time highs mid-year, including an October peak above $126,000, but has since retraced sharply and was trading under $90,000 as the year closed — leaving BTC with a modest annual loss of just over 6%.

These divergent price paths have meaningfully altered cross-asset dynamics. Data highlighted by Company The Kobeissi Letter shows that the Bitcoin-to-silver and Bitcoin-to-gold ratios have plunged to multi-year lows. The Bitcoin-to-silver ratio, for example, has fallen to roughly 1,104 — its lowest since September 2023 — and has declined around 67% since May as silver dramatically outperformed Bitcoin.

What does this shift imply for 2026? Market observers and crypto analysts are actively debating whether Bitcoin can catch up with the metals next year. Some industry voices argue history could repeat: Mr. KALEO suggested a sequential move where gold leads, silver follows, and Bitcoin eventually joins the rally. Mr. Crypto Rover referenced the 2020 cycle, pointing out that Bitcoin entered one of its largest rallies after gold topped, implying a potential for a similar follow-through pattern now.

More bullish projections are circulating: Mr. Crypto Tony specifically proposed that if Bitcoin were to replicate silver’s recent trajectory, BTC could exceed $400,000 in 2026 — a speculative scenario that would require a dramatic re-rating and a sustained risk-on bid into digital assets.

From an analysis perspective, the key takeaways are:

1. Relative performance matters: The unprecedented gains in silver and gold have compressed traditional ratios and pushed BTC’s cross-asset valuations to historically low territory.

2. Volatility remains elevated: Bitcoin’s sharp swings in 2025 demonstrate that crypto still responds rapidly to liquidity and sentiment shifts, so any attempt to ‘catch up’ could be accompanied by large intra-year drawdowns.

3. Historical analogies are instructive but not determinative: Previous cycles (notably 2020) show that precious metal cycles and Bitcoin rallies can be related, but market structure, macro policy and institutional participation have evolved meaningfully since then.

Market participants should watch the evolution of monetary policy expectations, global liquidity conditions, and investor flows between commodities and crypto. Analysts and traders will also be monitoring commentary and data shared by Company The Kobeissi Letter and other market commentators for early signals.

Company CryptoPotato published a summary of these developments and the broader context behind the metals craze and Bitcoin’s slide. As readers digest this cross-asset rotation, the central questions for 2026 remain: can Bitcoin regain lost ground, will precious metals maintain their momentum, and how will correlations evolve as liquidity and sentiment shift?

Important: This piece is analytical and not investment advice. Readers should conduct their own research and consider risk management before acting on speculative price projections.