What is the Bitcoin vs Gold correlation?
The Bitcoin vs Gold correlation measures how closely Bitcoin and gold prices move together over a 30-day rolling window, using Pearson correlation coefficient (−1 to +1). A high positive correlation suggests both assets are being driven by similar macro factors (e.g., dollar weakness, inflation expectations). A low or negative correlation suggests Bitcoin is trading as a risk-on asset, independent of gold.
What is PAXG and why use it as a gold proxy?
PAXG (PAX Gold) is a gold-backed digital token where each token represents one troy ounce of allocated gold stored in Brink's London vaults. It trades on Binance as PAXGUSDT, providing a free, real-time proxy for spot gold prices without requiring a traditional finance data feed. PAXG prices closely track the London spot gold fix.
What does a high positive BTC vs Gold correlation mean?
A correlation above 0.65 suggests Bitcoin and gold are both responding to the same macro drivers — typically dollar weakness, inflation concerns, or risk-off institutional flows seeking hard assets. During these periods, Bitcoin is often being treated as a digital gold hedge by institutional investors.
Is Bitcoin a digital gold substitute?
The relationship between Bitcoin and gold varies over time. During macro uncertainty, correlations often rise as both are treated as inflation/dollar hedges. During risk-on rallies, Bitcoin can decouple sharply upward while gold lags. This tool tracks that dynamic in real time — data only, not investment advice.