Bitcoin traded near $88,800 on Monday as global markets turned risk-on following gold’s record highs and gains in Asian stocks.
Ether rallied above $3,000, while XRP, Solana and Dogecoin also rose after a volatile period that saw cryptocurrency prices fluctuate wildly, independent of stocks and commodities.
The tougher tone came as gold hit an all-time high above $4,380 an ounce, driven by growing bets that the Federal Reserve will make additional rate cuts in 2026.
The metal is on track for its strongest annual performance since 1979, supported by central bank buying and continued inflows into gold-backed exchange-traded funds.
Asian stocks rose in line with precious metals. The MSCI Asia-Pacific index rose more than 1%, led by technology stocks, after a rebound in U.S. stocks late last week helped calm global markets. U.S. stock futures were also higher.
Japan remained the center of attention after the Bank of Japan’s recent rate hike pushed government bond yields to multi-year highs. The yen strengthened after authorities warned of excessive currency swings, while rising yields reinforced a shift away from years of ultra-accommodative policy.
Crypto followed the broader risk tone but remained fragile. Traders pointed to low year-end liquidity and continued leverage as factors keeping the rally in check.
Data from K33 Research shows that long-term bitcoin holders are nearing the end of a prolonged selling phase, while institutional buyers have begun absorbing bitcoin faster than miners can produce it. Corporate Treasuries and ETFs increased their buying even after prices fell more than 30% from October highs.
Crypto continues to take cues from the macroeconomic backdrop – helped by expectations of lower rates and safe-haven demand for gold, but held back by the aftereffects of a deep fourth-quarter pullback.
