Bitcoin demand weakens as gold, silver attract safe-haven flows

Market flows continue to favor traditional safe-haven assets, with gold and silver maintaining strong support as investors allocate capital toward defensive instruments amid macroeconomic uncertainty and risk aversion.

According to BTCUSA, Bitcoin has struggled to attract meaningful fresh demand. On-chain data shows limited accumulation, with new buyers hesitant to enter positions at current price levels, constraining upside momentum.

Short-term holders have emerged as a notable source of selling pressure, according to the report. These investors, who are more sensitive to price fluctuations, increased distribution during recent pullbacks, contributing to Bitcoin’s inability to sustain a rebound.

The divergence highlights a split in investor sentiment between asset classes. Precious metals have benefited from their established role as stores of value during periods of uncertainty, while Bitcoin has been treated as a high-beta risk asset, lagging behind defensive alternatives, the analysis noted.

Bitcoin is currently trading at around $87,178.67, down about 22.5% over the past three months.

It may remain range-bound as long as capital continues rotating into gold and silver.

A shift in risk appetite or a resurgence in spot demand would likely be required before Bitcoin can challenge higher resistance levels, the report stated.