Gold Climbs to Six-Week Highs on China Demand as Bitcoin Lags S&P 500

Bitcoin traded largely unchanged near the $64,000 level at the start of the Wall Street session on Wednesday, showing little follow-through despite a broad risk-on push in traditional markets. The muted action stood in contrast to gold’s renewed strength, as the precious metal climbed to its highest levels in about six weeks.

While US equities continued to build on recent record highs, investors appear to be treating Bitcoin more cautiously—at least for now—amid signals that have to line up before a durable rebound can take hold.

Key takeaways

• BTC held steady around $64,000 as gold rose 2.8% to $4,213 per ounce, its highest since June 22.
• Gold’s strength has been linked to Chinese demand, including reported inflows into China-based gold-backed ETFs.
• US stocks maintained momentum, with the S&P 500 reaching 7,793 and a majority of constituents trading above their 50-day moving average.
• Bitcoin’s recovery still appears contingent on multiple factors, including spot Bitcoin ETF inflows, easing bond yields, and fewer expectations of Federal Reserve rate hikes.

Gold regains footing as China demand returns to focus

Market data reviewed by TradingView pointed to a notable divergence: precious metals and US equities were advancing, while Bitcoin lacked directional momentum. Gold was a clear leader, gaining 2.8% to $4,213 per ounce—its highest level since June 22.

Bloomberg attributed the push higher to Chinese buying and reported 14 consecutive days of inflows for domestic gold-backed exchange-traded funds. The broader backdrop has also been shaped by the World Gold Council’s description of China ETF flows earlier this year: the organization’s data indicates June delivered the worst month of outflows on record, yet year-to-date inflows still stand at 40 billion yuan (about $5.6 billion). Even with June’s weakness, the first half remains the second-best on record for inflows.

The World Gold Council noted that demand has stayed resilient amid geopolitical and economic uncertainties, while ongoing purchases by the People’s Bank of China have offered additional support for sentiment. The organization cited central bank activity totaling 82 tonnes over the 20 months through June.

US equities extend gains while Bitcoin lags

Risk assets in the US remained strong on the day. The S&P 500 pushed higher to 7,793, building on Tuesday’s all-time highs noted in earlier Cointelegraph coverage. That tone in equities came alongside a market breadth read from Bloomberg ETF analyst Eric Balchunas, who said 66% of S&P 500 stocks were above their 50-day moving average and 57% were outperforming a benchmark tracker.

For Bitcoin, the result was a second consecutive session of relative underperformance versus the optimism seen in US stocks. Instead of aligning with the day’s broader “buy the dip” behavior, BTC stayed pinned in a tight range, reinforcing the view that the market’s appetite for recovery is still fragile.

Analysis flags a recovery that needs several conditions to align

Bitcoin’s price action has largely centered on the $64,000 area on shorter time frames, with traders continuing to reference the broader “bear market” structure they believe is still in place. One of the more widely discussed technical themes comes from trader and analyst Rekt Capital, who argued that if the current support zone produces weaker rallies, BTC could form lower highs and eventually break down into the $58,000–$66,000 range.

On the fundamental and macro side, CryptoQuant’s research—published Tuesday—outlined three prerequisites it suggested for a more durable rebound: persistent inflows to US spot Bitcoin ETFs, cooling in US bond yields, and a reduced expectation of additional Federal Reserve rate hikes. In other words, Bitcoin may need both crypto-specific demand and a friendlier macro environment to sustain momentum beyond short-lived relief moves.

CryptoQuant also pointed to a market microstructure condition via the Coinbase Premium, which measures the price difference between Coinbase and Binance’s BTC/USDT pairs. The firm said that metric also needed to return to positive territory, reiterating earlier analysis from June. Cointelegraph previously reported that the Coinbase Premium had been negative for nearly 80 days, and the latest framing maintains that this imbalance has not yet corrected.

What investors should watch next

For BTC, the near-term question is whether gold-driven risk hedging and equity strength can translate into sustained crypto demand—or whether Bitcoin remains constrained until ETF inflows, bond yields, and rate expectations shift in sync. Watch for evidence that the Coinbase Premium improves alongside any acceleration in US spot Bitcoin ETF inflows, because multiple analysts now treat that combination as a prerequisite for a more credible recovery.