Bitcoin falls to $91,000, gold and silver outperform

Source: PortaldoBitcoin Original Title: Bitcoin today: BTC falls to $91,000 while gold and silver soar Original Link: https://portaldobitcoin.uol.com.br/bitcoin-hoje-btc-cai-para-us-91-mil-enquanto-ouro-e-prata-disparam/ Bitcoin dropped 2.1% on Friday (5th), falling back to $91,351 after two consecutive days of gains that brought it close to the $93,000 mark. At the current exchange rate, the cryptocurrency is trading at around 485,100 Brazilian reais.

On the other hand, gold and silver continue to outperform Bitcoin for the year, as traders are betting on greater uncertainty ahead of the Federal Reserve’s (the U.S. central bank) rate decision on December 10. According to Trading Economics data, silver and gold have posted staggering cumulative returns of 86% and 60%, respectively. In comparison, Bitcoin has slipped into negative territory, down 1.2%.

A series of concerns—currency devaluation, macroeconomic uncertainty, and vague signals from central banks—are driving precious metals higher. Ryan McMillin, investment director at Merkle Tree Capital, noted that investors are preparing for a possible “policy mistake” by the Fed, that is, the central bank starting to cut rates while inflation remains stubbornly above the 2% target.

This particular concern centers on the risk of persistent inflation. McMillin explained that key indicators like the core PCE index—which measures changes in prices for goods and services—are once again trending toward 3% annually, especially in services and housing.

This defensive rotation into tangible assets has created clear divergences in three areas.

While precious metals are surging, traditional high-risk stocks are also rising for their own reasons. The Nasdaq and S&P 500 indices are up 21% and 16% this year, respectively.

“The stock rally is very conventional—profit growth, stock buybacks, and the AI investment narrative,” McMillin said.

Bitcoin in Recovery

Bitcoin, meanwhile, is still recovering from the October liquidation shock and subsequent leveraged position unwinding that ended its sustained uptrend following the launch of spot exchange-traded funds.

As a result, the S&P index is experiencing a “late-cycle melt-up,” while Bitcoin is in a “mid-cycle repair phase.”

On-chain data also shows a more nuanced picture. The total supply in loss has increased, indicating capitulation among short-term holders—a typical feature of mid-term redefinition rather than a bear market.

Despite dropping more than 26% from its all-time high of $126,080, Bitcoin has stabilized near the “realized market average,” which is the average cost of inactive coins, excluding coins held by miners. According to a report from Glassnode published Thursday, the realized market average marks the dividing line between a mild bear phase and deeper bear territory.

Despite current weakness, McMillin expects that Bitcoin’s detachment from precious metals and U.S. stocks will be temporary, predicting that once order books recover, this dynamic will ultimately track global liquidity and rising stock markets.

Bitcoin’s high sensitivity to macroeconomic shocks is likely to persist unless it recovers the 0.85 quantile—around $106,200—Glassnode analysts said in their report.

Translated and adapted from a Decrypt report.