Investors Move to Bitcoin, Gold, and Silver as Dollar Weakens, Says Ken Griffin

Highlights:

• Investors increasingly turn to gold, silver, and Bitcoin to protect against dollar weakness.
• The US government shutdown fueled Bitcoin and gold, sparking a rising “debasement trade.”
• VanEck predicts Bitcoin could reach $644,000 as safe-haven demand continues growing.

The global financial system is going through a big change because more investors are looking for safe assets such as gold, silver, and Bitcoin. In an interview with Bloomberg, Citadel’s CEO Ken Griffin said more people are buying these assets to protect against a falling dollar value. He called it a “debasement trade” to protect against inflation.

“We’re seeing substantial asset inflation away from the dollar as people are looking for ways to effectively de-dollarize, or de-risk their portfolios vis-a-vis US sovereign risk,” Griffin said in an interview for Bloomberg. The 2025 US government shutdown drove gold and Bitcoin to record highs, sparking a new “debasement trade.” From October 1, the shutdown helped Bitcoin climb past $126,000, reaching fresh all-time peaks on Monday.

US Shutdown Boosts Bitcoin and Gold

According to Polymarket predictions, most people believe the shutdown will last until after October 15. If Bitcoin keeps rising without dropping, it would strengthen the idea that investors are turning to it to protect against the dollar losing value.

As the U.S. government shutdown continues and the Federal Reserve’s next rate decision is still unclear, many investors are worried about a bigger political crisis. Because of these fears, both Bitcoin and gold have surged to new record highs during the shutdown. By contrast, during the 2023 bear market, the US government shutdown led to a 30% drop in prices.

Griffin said the U.S. economy is running on a level of stimulus that would normally be used during a recession. This extra flow of money is lifting all markets, as Bitcoin, gold, and the S&P 500 are now rising together to new highs.  His comments come as the U.S. M2 money supply starts growing again. This increase in money has helped push Bitcoin’s price higher, but the main reason for its new record level was the U.S. government shutdown. 

Bitcoin and Gold Rally as Safe-Haven Assets, VanEck Predicts $644K BTC

In the past, crypto was mostly used to protect against inflation in unstable markets or when local currencies crashed. But in the current cycle, Bitcoin is becoming a safe place for investors even in developed economies.

Gold is now priced at $3,959.45, rising 0.18% in one day, 8.86% in a month, 33% in six months, and 50% over the past year. Bitcoin is also doing well, trading at around $124,000, close to its record high of $126,198. 

Bitcoin rose 0.2% in one day, gained 10% in a week, and 12% over the past month. Following this strong upward trend, VanEck’s Head, Matthew Sigel, said Bitcoin might reach $644,000 after the next halving event. Sigel explained on X that they expect Bitcoin could reach half of gold’s total market value. Recently, gold futures went above $4,000 per ounce as investors sought a safe-haven asset. Sigel added that if this trend holds, Bitcoin’s equivalent price could reach $644,000.

We’ve been saying Bitcoin should reach half of gold’s market cap after the next halving. Roughly half of gold’s value reflects its use as a store of value rather than industrial or jewelry demand, and surveys show younger consumers in emerging markets increasingly prefer Bitcoin…

— matthew sigel, recovering CFA (@matthew_sigel) October 7, 2025