Cryptocurrency developments are crucial for investors linked to global economic fluctuations. In a climate where gold prices continuously rise, Bitcoin 
$79,109 has lagged behind, mirroring the performance of tech stocks. Nevertheless, due to the interconnected relationship between gold and Bitcoin, the leading cryptocurrency may catch up in the long run.
BofA Updates Gold Price Forecast for 2025 and 2026
Bank of America (BofA), one of the world’s most prestigious financial institutions, has revised its gold price forecasts for this year and the next. Amid global uncertainty, gold has reached new all-time high levels, showing larger gains against various local currencies. In its previous report, BofA predicted a price of $2,750 per ounce for this year and $2,625 for 2026.
The forecasts for 2025 and 2026 have been updated, aiming for $3,063 per ounce this year and $3,350 next year. This reflects nearly a 30% deviation from earlier estimates.
Gold Price vs. Bitcoin
Currently, spot gold is trading at around $3,024 per ounce, with its annual gain reaching 15% in just three months. Donald Trump’s tariff strategies, which signify a global trade war, have triggered significant economic concerns. Following his inauguration in January, numerous tariffs were announced, some of which were made last minute.
As we approach April 2, we will see the clear rules that Trump stated he would not change. BofA believes this environment will lead to further gains for gold. Additionally, if demand rises by 10%, the institution predicts that prices could reach $3,500 per ounce within two years.
BofA notes that central banks currently hold about 10% of their reserves in gold, a figure that could rise above 30% depending on tariffs.
Following the November 5 elections, gold lost nearly 38% of its value against BTC. However, the trend has reversed over the last 71 days. A 41% increase in the past three months has made gold a more attractive investment. Now, BTC is poised to recover to levels seen last July and April against gold.
