TLDR

  • Macroeconomist Lyn Alden has stated she anticipates Bitcoin will outperform gold in the next two to three years.
  • Gold reached a record high of approximately $5,608 in January, with market sentiment currently indicating “Greed” at 72 out of 100.
  • Bitcoin has fallen 44% from its all-time peak of $126,000 in October, with sentiment registering “Extreme Fear” at 18 out of 100.
  • Ray Dalio recently expressed reservations about Bitcoin as a long-term store of value, endorsing gold as the “most established money.”
  • In October 2025, CryptoQuant CEO Ki Young Ju observed that Bitcoin’s correlation with gold is strengthening.

Macroeconomist Lyn Alden has indicated she believes Bitcoin will perform better than gold over the next two to three years, attributing this outlook to the current overstretched sentiment surrounding gold and an unduly negative sentiment towards Bitcoin.

During an appearance on the New Era Finance this week, Alden clearly articulated her position. “If I were forced to choose which one I believe will outperform, I would say Bitcoin,” she stated.

Gold recently achieved an all-time high of around $5,608 in January. Alden characterized the prevailing mood as “somewhat euphoric,” though she refrained from labeling it a bubble.

The JM Bullion gold Fear and Greed Index corroborated this sentiment, reporting a “Greed” score of 72 out of 100 on Friday.

Bitcoin, in contrast, is situated in a vastly different market environment. The Crypto Fear and Greed Index recorded an “Extreme Fear” reading of 18 out of 100 on the same day.

Bitcoin is presently trading at $71,164. This represents a 44% decrease from its October all-time high of $126,000, according to CoinMarketCap.

Alden contends that the negative sentiment surrounding Bitcoin is “somewhat unfairly negative,” and that this disparity in sentiment between the two assets presents an opportunity.

She likened the relationship between Bitcoin and gold to a pendulum. “If gold has appreciated as much as it has, the entire diminishing return narrative per cycle will likely be negated in the upcoming one as well,” she commented.

Ray Dalio Takes The Other Side

Alden’s perspective is not universally shared. Billionaire investor Ray Dalio recently cautioned against Bitcoin as a long-term store of value, citing its lack of central bank backing and unresolved issues concerning privacy and quantum resistance.

Dalio referred to gold as the “most established money” and highlighted its position as the second-largest reserve asset held by central banks globally.

“Gold is not a precious metal that is speculated on,” Dalio remarked on Tuesday.

The two assets are often compared as alternatives to fiat currencies. However, Alden advised against overemphasizing their relationship. “Gold and Bitcoin can rise together, and they can fall together,” she noted.

Bitcoin’s Correlation With Gold Is Growing

Regardless of the debate over which asset will emerge victorious, their trajectories are converging in one aspect. CryptoQuant CEO Ki Young Ju observed in October 2025 that Bitcoin’s correlation with gold is increasing, as both assets solidify their reputations as hedges against macroeconomic uncertainty.

Coinbase CEO Brian Armstrong has projected that Bitcoin will reach $1 million by 2030, attributing this forecast to clearer US regulations as a significant factor.

As of this week, Bitcoin is trading at $71,164.