The dream of Bitcoin as the digital gold of the 21st century is moving into the distance. The leading cryptocurrency was originally supposed to challenge physical gold as a safe haven, but in uncertain market phases many investors recently preferred the precious metal instead. Despite initial signs of recovery since the beginning of March, the year-to-date comparison is clear: gold gained strongly, while Bitcoin plunged into a bear market. In an interview with BTC-ECHO, Dr. Jonas Groß, Chairman of the Digital Euro Association, explains why the narrative of digital gold has not yet prevailed, but why Bitcoin still has the potential to become the ideal protection against crises in the long term.
BTC-ECHO: Many crypto experts had predicted prices of USD 150,000, USD 200,000, or more for the recent bull market. Why were they wrong?
Dr. Jonas Groß: From my perspective, sentiment around Bitcoin moves very strongly in cycles – just as it does for other assets. In strong market phases, excessive optimism often prevails, while weaker phases tend to be characterized by excessive pessimism. What can clearly be stated at the moment is this: the narrative of Bitcoin as “digital gold” has not yet fully arrived in the market.
While gold has reached new all-time highs in recent months, Bitcoin has fallen significantly. This shows that market participants do not currently perceive Bitcoin as a safe haven. I personally continue to believe that Bitcoin can assume this role in the long term. However, this process is likely to take significantly longer than many people – myself included – originally expected.
What role do the spot ETFs and Strategy play in the current bear market?
From my perspective, Bitcoin ETFs reinforce existing market trends. During periods of rising demand, they increase purchases for their customers, while weaker market phases result in corresponding outflows. As a result, they can tend to amplify price movements.
With Strategy, we are currently seeing different behavior, because the company is acting more countercyclically during the ongoing bear market and is using weaker market phases for additional purchases. Without these continuous purchases by Michael Saylor and his team, the Bitcoin price would probably be even lower at the moment.
Why has the “digital gold” narrative hardly been able to establish itself despite geopolitical crises, and why did real gold come out ahead in 2025?
From my perspective, the main reason is that Bitcoin has not yet achieved the broad acceptance that would be necessary for a role as “digital gold.” Although the ETFs have been a major success, Bitcoin is currently perceived more as a “risk-on” asset, comparable to technology stocks, and not as a “risk-off” asset. In times of crisis, many market participants still prefer to turn to physical gold.
Will Bitcoin succeed in the long term in following in gold’s footsteps as a “crisis-proof safe haven”? And what would need to happen for that?
I am convinced that Bitcoin fundamentally has the potential to become a form of digital gold. Bitcoin certainly possesses the corresponding characteristics and even performs better than gold in some aspects that are important for a safe haven, such as transport and storage. However, this transformation is a long-term process.
From my perspective, short-term price movements do not change Bitcoin’s fundamental characteristics. Therefore, the following applies: patience is crucial. Markets move in cycles, and weaker phases are generally followed by stronger ones. We have repeatedly seen this dynamic in the past, both in the crypto market and in financial markets overall.
Thank you for the interview.
The original German interview was published at BTC Echo.
