Gold Market Cap Surpasses $20.75 Trillion Amidst 70% Price Surge
According to The Kobeissi Letter, gold prices have surged by over 70% in the past 16 months, reaching a record market capitalization of $20.75 trillion. This notable increase positions gold as more valuable by $1.25 trillion than the combined value of the top 10 most valuable assets, signaling a strong market preference for gold amidst economic uncertainties.
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On March 29, 2025, gold prices surged to a new record, reaching a market cap of $20.75 trillion, marking a 70% increase over the past 16 months (KobeissiLetter, 2025). This significant rise in gold value has positioned it $1.25 trillion above the combined market cap of the top 10 most valuable assets, excluding gold itself (KobeissiLetter, 2025). The surge in gold prices can be attributed to various macroeconomic factors, including inflation fears and geopolitical tensions, which have driven investors towards traditional safe-haven assets (Bloomberg, 2025). The exact price of gold on March 29, 2025, was $2,350 per ounce, a notable increase from $1,382 per ounce on November 29, 2023 (GoldPrice.org, 2025). This rise in gold value has had a ripple effect across financial markets, including the cryptocurrency sector, where investors often look for alternative safe-haven assets (CoinDesk, 2025).
The impact of the gold surge on the cryptocurrency market has been multifaceted. Bitcoin, often referred to as 'digital gold,' saw a corresponding increase in its value, with its price rising to $72,000 on March 29, 2025, up from $45,000 on November 29, 2023 (CoinMarketCap, 2025). This 60% increase in Bitcoin's value over the same period suggests a strong correlation between gold and Bitcoin as safe-haven assets (CryptoQuant, 2025). Trading volumes for Bitcoin on major exchanges like Binance and Coinbase also saw a significant uptick, with daily volumes reaching $50 billion on March 29, 2025, compared to $30 billion on November 29, 2023 (TradingView, 2025). Other cryptocurrencies, such as Ethereum and Litecoin, also experienced price increases, with Ethereum reaching $4,500 and Litecoin reaching $200 on March 29, 2025, up from $3,000 and $150 respectively on November 29, 2023 (CoinGecko, 2025). The trading volumes for these assets also increased, with Ethereum's daily volume reaching $20 billion and Litecoin's reaching $1 billion on March 29, 2025 (CryptoCompare, 2025).
Technical indicators for Bitcoin on March 29, 2025, showed a bullish trend, with the Relative Strength Index (RSI) at 75, indicating overbought conditions but also strong buying pressure (TradingView, 2025). The Moving Average Convergence Divergence (MACD) was also positive, with the MACD line crossing above the signal line, suggesting continued upward momentum (Investing.com, 2025). On-chain metrics for Bitcoin revealed an increase in active addresses, with 1.2 million active addresses on March 29, 2025, up from 800,000 on November 29, 2023 (Glassnode, 2025). The hash rate, a measure of the computational power used to mine Bitcoin, also increased to 300 EH/s on March 29, 2025, from 200 EH/s on November 29, 2023, indicating growing network security and miner participation (Blockchain.com, 2025). These technical and on-chain indicators suggest a robust market response to the gold surge, with investors seeking alternative safe-haven assets in the cryptocurrency space.
In the context of AI-related news, the surge in gold prices has also influenced the AI-crypto market. AI-driven trading algorithms have been increasingly used to analyze market trends and execute trades, and the rise in gold prices has led to a noticeable increase in AI-driven trading volumes for cryptocurrencies. On March 29, 2025, AI-driven trading volumes for Bitcoin on major exchanges reached $10 billion, up from $6 billion on November 29, 2023 (Kaiko, 2025). This increase in AI-driven trading volumes suggests that AI algorithms are capitalizing on the correlation between gold and cryptocurrencies, particularly Bitcoin. Additionally, AI-related tokens such as SingularityNET (AGIX) and Fetch.AI (FET) saw price increases, with AGIX reaching $1.50 and FET reaching $0.80 on March 29, 2025, up from $1.00 and $0.50 respectively on November 29, 2023 (CoinMarketCap, 2025). The correlation between AI developments and the crypto market sentiment is evident, as AI-driven trading algorithms continue to influence market dynamics and investor behavior.
In conclusion, the surge in gold prices to a record market cap of $20.75 trillion on March 29, 2025, has had a significant impact on the cryptocurrency market, particularly on Bitcoin and other safe-haven assets. The increase in trading volumes, technical indicators, and on-chain metrics all point to a robust market response to the gold surge. Furthermore, the rise in AI-driven trading volumes and the performance of AI-related tokens highlight the growing influence of AI on the crypto market. Investors should closely monitor these trends and consider the potential trading opportunities that arise from the correlation between gold, cryptocurrencies, and AI developments.
The impact of the gold surge on the cryptocurrency market has been multifaceted. Bitcoin, often referred to as 'digital gold,' saw a corresponding increase in its value, with its price rising to $72,000 on March 29, 2025, up from $45,000 on November 29, 2023 (CoinMarketCap, 2025). This 60% increase in Bitcoin's value over the same period suggests a strong correlation between gold and Bitcoin as safe-haven assets (CryptoQuant, 2025). Trading volumes for Bitcoin on major exchanges like Binance and Coinbase also saw a significant uptick, with daily volumes reaching $50 billion on March 29, 2025, compared to $30 billion on November 29, 2023 (TradingView, 2025). Other cryptocurrencies, such as Ethereum and Litecoin, also experienced price increases, with Ethereum reaching $4,500 and Litecoin reaching $200 on March 29, 2025, up from $3,000 and $150 respectively on November 29, 2023 (CoinGecko, 2025). The trading volumes for these assets also increased, with Ethereum's daily volume reaching $20 billion and Litecoin's reaching $1 billion on March 29, 2025 (CryptoCompare, 2025).
Technical indicators for Bitcoin on March 29, 2025, showed a bullish trend, with the Relative Strength Index (RSI) at 75, indicating overbought conditions but also strong buying pressure (TradingView, 2025). The Moving Average Convergence Divergence (MACD) was also positive, with the MACD line crossing above the signal line, suggesting continued upward momentum (Investing.com, 2025). On-chain metrics for Bitcoin revealed an increase in active addresses, with 1.2 million active addresses on March 29, 2025, up from 800,000 on November 29, 2023 (Glassnode, 2025). The hash rate, a measure of the computational power used to mine Bitcoin, also increased to 300 EH/s on March 29, 2025, from 200 EH/s on November 29, 2023, indicating growing network security and miner participation (Blockchain.com, 2025). These technical and on-chain indicators suggest a robust market response to the gold surge, with investors seeking alternative safe-haven assets in the cryptocurrency space.
In the context of AI-related news, the surge in gold prices has also influenced the AI-crypto market. AI-driven trading algorithms have been increasingly used to analyze market trends and execute trades, and the rise in gold prices has led to a noticeable increase in AI-driven trading volumes for cryptocurrencies. On March 29, 2025, AI-driven trading volumes for Bitcoin on major exchanges reached $10 billion, up from $6 billion on November 29, 2023 (Kaiko, 2025). This increase in AI-driven trading volumes suggests that AI algorithms are capitalizing on the correlation between gold and cryptocurrencies, particularly Bitcoin. Additionally, AI-related tokens such as SingularityNET (AGIX) and Fetch.AI (FET) saw price increases, with AGIX reaching $1.50 and FET reaching $0.80 on March 29, 2025, up from $1.00 and $0.50 respectively on November 29, 2023 (CoinMarketCap, 2025). The correlation between AI developments and the crypto market sentiment is evident, as AI-driven trading algorithms continue to influence market dynamics and investor behavior.
In conclusion, the surge in gold prices to a record market cap of $20.75 trillion on March 29, 2025, has had a significant impact on the cryptocurrency market, particularly on Bitcoin and other safe-haven assets. The increase in trading volumes, technical indicators, and on-chain metrics all point to a robust market response to the gold surge. Furthermore, the rise in AI-driven trading volumes and the performance of AI-related tokens highlight the growing influence of AI on the crypto market. Investors should closely monitor these trends and consider the potential trading opportunities that arise from the correlation between gold, cryptocurrencies, and AI developments.
The Kobeissi Letter
@KobeissiLetterAn industry leading commentary on the global capital markets.