News

Bitcoin Price Flashes Brilliance As China Increases Gold Holdings By Five Tonnes

China has increased its gold holdings by five tonnes amid its tariff wars with the US but Bitcoin price is showing a resilient streak.
Published by
Bitcoin Price Flashes Brilliance As China Increases Gold Holdings By Five Tonnes

Highlights

  • China has increased its gold reserves by a country mile over the last month.
  • Renewed interest in gold sees Bitcoin hold its own amid macroeconomic tensions.
  • Bitcoin price sits at $85,000 and shows signs of an uphill climb toward $90K.

China is loading up on its gold holdings, racking up five tonnes in a frenetic accumulation spree over the last month. The push for gold is triggering unintended consequences for Bitcoin price, with BTC comfortably holding the $85K mark.

Advertisement

Bitcoin Price Shows Resilience Amid China’s Gold Rush

According to an X post by the Kobeissi Letter, China is continuing its streak of stacking up gold bars. The latest accumulation spree sees the People’s Bank of China (PBoC) bolster its existing gold holdings by five tonnes over the last month.

While China’s frenetic push for gold continues to raise eyebrows, the Bitcoin price is riding the tailwind of the purchases. At the moment, Bitcoin price is trading at $85,000 despite a whirlwind of negative macroeconomic reports in recent days.

Barely four days ago, Bitcoin and other cryptocurrencies tanked after US President Trump slapped 245% tariffs on China. The recent recovery on the heels of the PBoC’s disclosure of its gold holdings has left investors scratching their heads.

A plausible reason for the BTC price resurgence is its rising safe-haven appeal flowing from China’s gold embrace. Traders are seeing upside in Bitcoin’s value as a hedge against inflation flowing from China’s decision to ditch the US dollar.

Another reason for Bitcoin’s rise is the growing possibility that China is inching toward a Strategic Bitcoin Reserve. However, reports of China selling 15,000 BTC on offshore exchanges poke holes in the Strategic Bitcoin Reserve theory.

Advertisement

Gold Surges To New Highs With BTC Poised To Follow Its Path

The price of gold has soared to new highs, sparking speculation that the Bitcoin price will follow suit. Gold is trading at $3,326 after adding nearly $100 over the last week. The surge in gold prices stems from renewed institutional interest, with China leading the charge.

The US-China tariff wars are powering a mad dash for safe-haven assets, with gold receiving renewed interest. Bitcoin, on the other hand, is set to record similar institutional interest as a complementary safe-haven asset.

However, Peter Schiff warns that Bitcoin is in a bear market, dousing enthusiasm for a push to mirror gold prices. Spot Bitcoin ETFs have recorded the largest drawdown since launch, but Bitcoin price is holding up in a strong show of strength.

“$4.8B has left the ETF market since the cumulative flow ATH,” said cryptocurrency analyst Darkfost. “Meanwhile, the price of BTC has recently remained relatively stable so far, showing limited reaction to this selling pressure.”

 

Advertisement

Share
Aliyu Pokima

Aliyu Pokima is a seasoned cryptocurrency and emerging technologies journalist with a knack for covering needle-moving stories in the space. Aliyu delivers breaking news stories, regulatory updates, and insightful analysis with depth and precision. When he's not poring over charts or following leads, Aliyu enjoys playing the bass guitar, lifting weights and running marathons.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • News

Will Bitcoin Rally as JPMorgan Tips Fed To End QT at FOMC Meeting?

Bitcoin traders are turning their attention to this week’s Federal Open Market Committee (FOMC) meeting.…

October 26, 2025
  • News

White House Crypto Czar Backs Michael Selig as ‘Excellent Choice’ To Lead CFTC

White House crypto czar David Sacks has shown his support for Donald Trump's nomination of…

October 25, 2025
  • News

Ripple Explores New XRP Use Cases as Brad Garlinghouse Reaffirms Token’s ‘Central’ Role

Crypto firm Ripple has revealed that it is exploring new ways to use XRP within…

October 25, 2025
  • News

Kyrgyzstan Adds Binance Coin (BNB) to National Crypto Reserve, CZ Confirms

Kyrgyzstan has made a significant move in the adoption of digital finance. It has now…

October 25, 2025
  • News

Ripple-Backed Evernorth Grows XRP Treasury to $1B Ahead of Nasdaq Listing

Ripple-backed Evernorth's XRP treasury has grown to $1 billion just days after the company announced…

October 25, 2025
  • News

Trump Tariff Tensions Ease as U.S. and China Hold Positive Trade Talks Ahead of Oct 30 Summit

In fresh developments, the United States and China’s trade teams have commenced negotiations on the…

October 25, 2025