Bitcoin and Gold Break Records as Investors Seek Safe Havens

​The Rise of the “Debasement Trade”
Bitcoin and gold are both surging to record highs, giving investors two different — but connected — ways to hedge against weakening fiat currencies. While gold continues its long reign as the traditional store of value, even longtime gold loyalists are starting to acknowledge bitcoin’s growing role as the digital version of it.

“Bitcoin is simply too big to ignore,” said Paul Karger, co-founder of Twin Focus. “Everyone who doubted it over the past decade has been proven wrong.”

Bitcoin Pulls Back, But the Rally Holds
Bitcoin briefly touched an all-time high above $125,000 earlier this week before easing back to around $122,000 on Thursday. Even after the pullback, it’s still up more than 30% year to date — a sign of just how much investor appetite for crypto has accelerated.

Karger said he still prefers a larger 5% allocation to gold, with a smaller slice of bitcoin in client portfolios. But he admitted that digital assets have earned their place in a modern, diversified portfolio.

Rethinking the 60/40 Portfolio
Karger also suggested that investors rethink the traditional 60/40 mix of stocks and bonds that has dominated investment strategy for decades. Instead of parking nearly half of a portfolio in long-dated bonds, he advises diversifying into shorter-term debt, real estate, gold, commodities, and yes — even digital assets like bitcoin.

“Diversification is key, especially when currencies are under pressure,” Karger noted. “You want assets that hold real value, not paper promises.”

Gold’s Timeless Appeal
Gold isn’t just holding up — it’s soaring. The precious metal recently topped $4,060 per ounce, marking its best year in more than four decades. Even with minor pullbacks, it remains one of 2025’s top-performing assets, up more than 50% this year.

“Absolutely, you should own gold,” said Karger. “It’s had a 2,000-year track record of calling out weak currencies.”

For those buying physical bullion, Karger recommends coins over bars, since they’re easier to resell and store securely.

The Takeaway
​Whether it’s shiny metal or digital code, investors are flocking to anything that holds value beyond central bank policies. Gold and bitcoin may sit at opposite ends of the investing spectrum, but both are proving indispensable in a world where fiat money looks increasingly fragile.