Gold has reached a record high of $3,862.23 per ounce on September 30, 2025, driven by U.S. Federal Reserve rate expectations and increased central bank purchases.
This surge underscores geopolitical risks and inflation concerns, significantly impacting cryptocurrency markets, particularly gold‑backed tokens.
Gold has surged to a new record, trading at $3,862.23 per ounce. Key factors include expectations of US Federal Reserve rate cuts, central bank purchases, a weakening US dollar, and geopolitical risks, leading investors towards gold.
The US Federal Reserve remains a significant influence on this trend, with central banks increasing allocations, particularly in China and India. US President Donald Trump's fiscal policies have also added uncertainty, affecting market sentiment further.
The market shift impacts trading patterns, with increased activity in gold‑backed assets such as PAXG and XAUT. These tokens show higher volumes reflecting a move from riskier crypto assets to more stable options like gold.
Financial implications include funds flowing into gold‑backed ETFs and futures. Political factors, such as fiscal stability discussions in the US, further contribute to gold's appeal amid fears of economic downturn.
DeFi platforms report stable TVL, excluding noticeable outflows, suggesting investors favor gold‑related trades on DEXs like Uniswap. This trend shows a preference for tangible assets amidst broader economic unease.
Historical trends indicate that gold rallies typically coincide with digital asset slowdowns. As seen in past cross‑asset shifts, macroeconomic fear triggers increases in gold's value, aligning with central bank policies and investor sentiment.
“The combination of fears surrounding fiscal policy and inflation makes gold not just a commodity, but a strategic asset.”