Bitcoin Is Not Set for a Happy Holidays. Blame Silver and Gold.
December 24, 2025
Bitcoin and other cryptocurrencies were little changed on Christmas Eve, with digital assets looking set to miss out on any Santa Claus rally that sweeps stock markets. One crypto skeptic suggests silver and gold could be to blame.
The price of Bitcoin fell less than 1% over the past 24 hours to $87,300. Bitcoin hit a record high above $126,000 in October but has since fallen back dramatically amid deteriorating sentiment for digital assets.
“Bitcoin is in a falling trend channel in the short term. This shows that investors over time have sold at lower prices to get out of the currency, and indicates negative development,” wrote investing platform Investtech on Wednesday, based on technical market indicators. “[Bitcoin] has support at points $84,000 and resistance at points $93,400 … technically negative for the short term.”
With few obvious catalysts ahead and a weak technical backdrop, cryptos seem unlikely to benefit significantly from sentiment that could buoy wider markets, such as the much-anticipated “Santa Claus rally” typically seen in stocks. The S&P 500, for its part, hit an all-time high on Tuesday, with precious metals also rallying as gold and silver set their own fresh records.
In fact, gains for gold and silver could be a contributing factor to Bitcoin’s weakness, according to research published Tuesday by Walter J. Zimmerman Jr. of ICAP Technical Analysis.
Citing price trends and evidence of fund flows, Zimmerman suggests that investors have rotated out of Bitcoin and into precious metals. Bitcoin has fallen by more than a third since its peak on October 6, while gold has risen 15% to historic highs over that same period with silver similarly setting records with a 50% jump on the same timeline.
“[These] trends … are causally connected,” wrote Zimmerman. “We are looking at fund flows out of Bitcoin and into gold and silver.”
Beyond Bitcoin, Ethereum—the second-largest crypto—fell 1.5% to below $3,000. Smaller tokens or altcoins were also weaker, with XRP retreating 1.5%, Solana sliding 2%, and Dogecoin down 2%.
Write to Jack Denton at jack.denton@barrons.com
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