TLDR
- Goldman Sachs predicts that gold could reach $5,000 per ounce if the Federal Reserve’s credibility is questioned.
- Gold has outperformed Bitcoin in 2025 with a 37% gain year-to-date, compared to Bitcoin’s 22% rise.
- A strong correlation exists between Bitcoin and gold, particularly during periods of economic uncertainty.
- Bitcoin’s price could surge by 250% for every 15% increase in gold’s value.
- If gold hits $5,000, Bitcoin could potentially rise to $220,000 according to Goldman Sachs’ analysis.
Gold prices have surged to historic highs in 2025, outperforming both Bitcoin and the S&P 500. Goldman Sachs predicts that the gold price could reach $5,000 per ounce if the Federal Reserve’s credibility is questioned. This price rally could have a ripple effect, potentially boosting Bitcoin prices.
Gold Prices Rally to Record Highs
Gold futures hit a record high of $3,630 per ounce today, continuing their upward trajectory. The total holdings in Gold ETFs reached 2,905 tonnes by the end of August. So far, gold has outperformed Bitcoin, with a 37% gain year-to-date, compared to Bitcoin’s 22% rise.
Gold has seen a strong and steady rise in value due to macroeconomic uncertainty. Tariffs and inflation fears have pushed investors toward the safety of gold. The correlation between physical gold and Bitcoin has become more evident, as both assets rise amid similar market conditions.
Goldman Sachs sees a possibility of gold prices reaching $5,000 per ounce under certain conditions. If the Fed’s independence faces threats, it could lead to higher inflation and a weaker dollar. Analyst Samantha Dart of Goldman Sachs explains, “If 1% of the US Treasury market flows into gold, we expect the gold price to rise to nearly $5,000 an ounce.”
Bitcoin Price Could Surge with Gold’s Rise
Bitcoin has seen strong price gains in 2025, with a 22% rise so far this year. If gold continues to climb, Bitcoin might follow suit. Historical trends show a strong correlation between Bitcoin and gold, especially during periods of economic uncertainty.
Goldman Sachs projects that Bitcoin could surge if gold hits $5,000 an ounce. The bank’s analysis suggests Bitcoin could see a 250% rise for every 15% increase in gold’s price. If gold reaches $5,000, Bitcoin’s price could potentially rise to $220,000.
As the Federal Reserve may cut rates in the coming months, liquidity could increase, benefiting Bitcoin. The likelihood of a Bitcoin rally grows as the Fed continues to ease monetary policy. Analysts believe that the Bitcoin price might catch up to gold’s performance in the next 200 days.
Goldman Sachs Forecasts Gold’s Bullish Future
Goldman Sachs envisions a bullish scenario for gold in the coming years, with a potential price of $4,000 per ounce by mid-2026. In a tail-risk scenario, the price could even hit $4,500 or $5,000. The bank’s forecasts have sparked discussions about how Bitcoin may react to such price movements.
Bitcoin’s price could experience a major upward shift if gold maintains its rally. As the correlation between Bitcoin and gold strengthens, market analysts anticipate that Bitcoin’s price could climb in tandem. If the gold price hits $5,000, Bitcoin may surge to new heights, potentially breaking previous records.
