Bitcoin stays trapped below $88,500 as gold breaks $5,000 and silver retreats

Bitcoin drifts lower as investors favor gold and silver ahead of Fed and tech earnings

Bitcoin traded below $88,500 early in the week, alongside most major tokens, as investors sought safety in gold and silver ahead of a pivotal stretch for global risk assets, including the Federal Reserve policy decision and a heavy slate of Big Tech earnings.

BTC changed hands around $88,400 during Asian hours, modestly lower on the day and down roughly 4% over the past week, according to CoinDesk data. Ether (ETH) hovered near $2,940, while Solana (SOL) at $125.87, XRP at $1.91, and Dogecoin (DOGE) at $0.1244 all posted small declines, reflecting a cautious tone across major tokens.

Precious metals saw choppy trading but maintained gains. Silver retraced some of its earlier surge after logging its sharpest jump since 2008, while gold briefly topped $5,000 an ounce before easing back. Despite the pullback, silver finished Monday up 0.6% after a 14% intraday spike, marking its biggest one-day swing since the global financial crisis.

By contrast, cryptocurrencies have struggled to participate in the broader macro rally. Bitcoin remains well below its October peak, even as falling real yields, a softer dollar, and rising geopolitical uncertainty have bolstered equities and precious metals. The divergence has reinforced the view that crypto is currently trading more as a high-beta asset sensitive to positioning and liquidity rather than as a hedge.

“Cryptocurrencies remain a lagging class of risk-sensitive assets, falling short of metals and the strongest global currencies,” said Alex Kuptsikevich, chief market analyst at FxPro. “The technical bearish picture remains relevant. BTC remains below key moving averages and has yet to challenge support levels from the last two months,” he added.

Looking ahead, the Federal Reserve is widely expected to hold interest rates steady at its Wednesday policy meeting, while earnings from several Magnificent Seven companies will test whether the AI-driven equity rally can extend. Both events are seen as potential catalysts for shifts in risk appetite that could influence crypto markets.

For now, bitcoin appears pinned near current levels, drifting lower as investors await clearer direction from Fed guidance and Big Tech results.