Referring to Bitcoin (BTC) as a safe haven has drawn the ire of many precious metals advocates who tout gold’s long history of serving as a reliable store of value while BTC’s price action is more akin to a roller coaster. According to one analyst, the latest flare-up in the Middle East has underlined this point as Bitcoin fell 6% while the yellow metal rallied higher.

Gold prices are lower in midday U.S. trading Wednesday, on profit-taking and weak-long liquidation from the shorter-term futures traders. However, it appears a floor is under the market and bulls are likely looking to buy the dip at some point soon. A rebound in the U.S. dollar index today is also a negative outside-market element for the metals markets. Silver prices are firmer today. December gold was last down $18.20 at $2,672.30 and December silver was up $0.283 at $32.025.

After the Federal Reserve kicked off its easing cycle with a bigger-than-expected 50 basis point cut last week, precious metals investors took the ball and ran with it this week, setting new all-time high prices for gold across six consecutive trading sessions.

Silver reached its highest level since 2012, while gold set a new record, driven by growing expectations of further interest rate cuts from the Federal Reserve, which boosted precious metals.

The precious metals market has witnessed an extraordinary surge in gold prices, with the yellow metal achieving one of its most impressive runs in recent history. Gold has soared by over 21% this year, reaffirming its status as both a safe-haven asset and a potential source of significant returns. The rally intensified following the Federal Reserve's first interest rate cut since 2020, with gold gaining nearly 3% in the week after the announcement.

Gold reached a record high on Wednesday, driven by a weaker U.S. dollar and expectations of further interest rate cuts, as investors sought fresh cues on the Federal Reserve's future interest rate path.

Gold prices continued to rise, reaching a record high on September 23, fueled by the US Federal Reserve's interest rate cut and increased safe-haven demand amid geopolitical tensions in the Middle East.

Gold soared above the $2,600 level on Friday for the first time, extending a rally boosted by bets for further U.S. interest rate cuts, and rising tensions in the Middle East.

In a significant shift in monetary policy, Federal Reserve Chairman Jerome Powell introduced the acronym of 'Recalibration' during yesterday's press conference, signaling the beginning of a pivot in the central bank's approach. This new strategy marks the commencement of interest rate normalization, with the Fed aiming to reduce its benchmark funds rate from the current range of 5.25% - 5.50% to approximately 3.50% over the next year.

Gold prices rose on Thursday after hitting a record high in the previous session, as the U.S. Federal Reserve delivered a super-sized interest rate cut.