Matrixport: Central banks continue to increase gold holdings, which may explain the strength of gold and its relative pressure compared to Bitcoin

Mars Finance News: Matrixport released a chart analysis indicating that gold prices continue to rise, with the key driver of this rally being the renewed concerns over the weakening purchasing power of the US dollar. Against the backdrop of Trump pushing for additional tariffs on Europe, the US dollar remains under pressure, and discussions about overseas central banks potentially reducing their holdings of US Treasuries and shifting more foreign exchange reserves into gold have noticeably increased.

Analysis suggests that the relative strength of gold is closely related to official sector demand. Central banks around the world continue to increase their gold holdings, especially the Chinese central bank, whose buying pace has attracted more market attention, providing sustained buying support for gold prices. In contrast, Bitcoin is still rarely included in central bank reserve diversification frameworks at the public disclosure level. For policymakers, gold remains a more mainstream asset that aligns with existing reserve management systems, whereas Bitcoin has not yet been widely accepted within official foreign reserve frameworks.

Matrixport states that this divergence in central bank asset allocation may, to some extent, explain the recent strength of gold and the relatively weaker performance of Bitcoin.