# Bitcoin and Gold Fall as Rate Risks Weigh on October Markets

By Enna Lee

Canonical URL: https://www.tokenpost.com/news/investing/27562
Published: 2026-10-07T17:22:19.000Z
Updated: 2026-10-07T17:22:19.000Z
Section: Investing

> Bitcoin traded near $83,000 and spot gold tested $4,100 on Oct. 7 after the Federal Reserve raised its policy range to 3.75%-4% in September.

Bitcoin (BTC) and spot gold fell on Oct. 7 as markets reassessed monetary policy and geopolitical risks, renewing attention on how the two assets behave during periods of financial stress.

Bitcoin traded near $83,000 after failing to break above $87,200, extending a three-day decline. Spot gold tested the $4,100 level. Both figures are approximate market levels.

The moves followed the Federal Open Market Committee’s Sept. 16 decision to raise the federal funds target range by 25 basis points to 3.75%-4%. The vote was unanimous at 12-0.

Federal Reserve officials described economic growth as solid and inflation as still above desired levels. They also said uncertainty had increased partly because of geopolitical developments.

Gold is the more established monetary and reserve asset. Bitcoin remains a newer and more speculative diversifier, and the two can move differently even when investors view both as alternatives to debt-linked financial assets.

Ray Dalio has argued that rising government debt, expanding bond supply and weakening demand can pressure currencies and financial markets. In comments published March 3, Dalio said, “There is only one Gold.”

He also said, “Gold is the most established money… It’s the second-largest reserve currency that central banks hold.” Dalio has said he owns a small Bitcoin allocation, but his cited comments emphasize gold over Bitcoin as a monetary hedge.

Dalio’s Aug. 21 publication, “How Countries Go Broke: The Dynamic Behind What is Happening Now,” discussed the risks associated with excessive government debt and currency devaluation.

The latest market split follows [TokenPost’s previous coverage of Bitcoin and gold moving in opposite directions despite elevated correlation](<https://www.tokenpost.com/news/investing/25345>). Correlation measures how closely two assets’ price movements track each other over a given period.

## Links in this article

- [TokenPost’s previous coverage of Bitcoin and gold moving in opposite directions despite elevated correlation](https://www.tokenpost.com/news/investing/25345)