Cryptocurrency Falls Behind Gold and Stocks, But 2026 Offers a Chance to "Catch Up"

The cryptocurrency market will continue to decline in 2026 despite the growth of other major assets; however, according to market analysis platform Santiment, cryptocurrencies will have a chance to catch up in the new year. In a post on X on Tuesday, analysts from Santiment stated that Bitcoin is lagging behind gold and the S&P 500 stock index, both of which have recovered slightly after the crash in November.

Since the beginning of November, gold prices have increased by 9%, the S&P 500 index has risen by 1%, while Bitcoin has decreased by 20%, trading at around $88,000 as of Wednesday.

Santiment analysts said: “The correlation between Bitcoin and cryptocurrencies compared to other major sectors remains lower than that of other sectors,” and added that “by 2026, cryptocurrencies still have a chance to catch up.” Waiting in the Wings for the Whales The return of large investors rushing back into cryptocurrencies could be the first sign of a shift, as “whales” slowed their accumulation in the second half of 2025, according to Santiment. “The second half of 2025 was mainly a period of strong accumulation by small investors, while large investors essentially maintained their positions, reaching an all-time high in October, before selling off.” Overall, large investors and “whales” are considered highly influential in the market, and their transactions can impact market behavior, liquidity, and investor sentiment. Santiment analysts added: “Historically, the best formula for a bearish pattern to turn bullish is when large investors accumulate capital and retail investors sell off.” Long-term Bitcoin holders have also stopped selling, pausing their sell-off of cryptocurrencies for the first time in six months since reducing holdings from 14.8 million coins in mid-July to 14.3 million coins in December. The Cryptocurrency Reversal May Have Already Begun Garrett Jin, former CEO of the cryptocurrency exchange BitForex ( now ceased operations ), predicts that traders have started shifting from other sectors to cryptocurrencies. Data from blockchain analytics platform Nansen shows that the number of active Bitcoin addresses increased by 5.51% in the past 24 hours, while transaction volume decreased by nearly 30%.

“The short-selling phenomenon in metals has ended as expected. Capital is starting to flow into cryptocurrencies,” Jin said on Tuesday. When asked whether traders investing in precious metals are buying cryptocurrencies, he added, “Investment capital remains the same. Always sell high and buy low.” Meanwhile, market investor and analyst CyrilXBT said the market is in a “typical end-of-cycle positioning phase before a transition.” “When liquidity changes and BTC breaks structure: Gold cools down, BTC leads, ETH follows, and altcoins finally wake up. The market always fluctuates before the story changes. Be patient. This phase is designed to test confidence.”