The Rotation Trade

A rotation trade is when investors move money from one investment to another. It is typically a significant group of investors selling one asset to buy another at the same time for the similar reasons. That might be happening with bitcoin and gold.

Bitcoin topped out at $126,000 the same month- October- that gold broke through $126,000 per kilogram. As of December 12, 2025, bitcoin costs $92,000 and gold costs $137,000 per kilogram.

Those who bought bitcoin anytime before a year ago bought it below $92,000. Some may have sold at the top and bought gold under $126,000 per kilogram. Some may be selling bitcoin at a loss or with less profit to buy gold.

Most people don’t care about the details when it comes to bitcoin and gold. They just want to buy low and sell high.

Most of the world prices things in kilograms. If you thought that bitcoin is worth more than gold because gold is $4,200 per Troy ounce (31.1 g), is it because you imagine that bitcoin is a gold coin?

Whether bitcoin is worth nothing or one million worthless dollars, bitcoin is worth its weight in gold.