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Bitcoin is falling. Should you invest in gold now?

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Bitcoin sign made out of golden bars
Gold investing could be a smart alternative to buying Bitcoin in today’s crypto market, and there are a few good reasons why.

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Bitcoin, the pioneer of cryptocurrencies, has been an alluring investment option in recent years thanks to its growing value and position as a trusted crypto asset. However, Bitcoin’s pricing — and the wider crypto market — has experienced extreme volatility over the last year, with periods of pricing declines and upticks that have been hard to predict. 

And, the crypto asset experienced yet another significant correction this week when the price of Bitcoin dropped to $40,000 — a decline of approximately 12% and the lowest price point since December 18, 2023. This price drop occurred shortly after the U.S. Securities and Exchange Commission (SEC) approved Bitcoin exchange-traded funds (ETFs) to commence trading on January 10. 

The approval of Bitcoin ETFs by the SEC was a move that had initially been expected to bolster the cryptocurrency’s value — but instead triggered a correction that sent shockwaves through the market. And, that plunge in Bitcoin’s price has left investors grappling with uncertainties. In turn, some investors may be reevaluating their strategies, considering alternative assets — like gold — that may provide a more stable haven instead. But is gold actually a good alternative to Bitcoin? Let’s find out.

Ready to get started? Find your top gold investing options here.

Bitcoin is falling. Should you invest in gold now?

With the price of Bitcoin falling, it could make sense to consider investing in gold instead — and there are a few good reasons why, including:

The historic stability of gold

Gold has long been considered a safe-haven asset, meaning that it can help to protect your wealth during periods of market or economic turbulence. And, unlike Bitcoin, which is a relatively new entrant in the financial landscape, gold has historically weathered a number of economic storms. 

That’s a large part of why investors have traditionally turned to gold during times of crisis. They view it as a store of value that retains its worth even in the face of market fluctuations. And, with the price of Bitcoin fluctuating right now, it may be a good time to consider adding gold to your portfolio to help offset some of the potential losses from your crypto investments.

Learn more about how you can invest in gold today

The inverse relationship with equities

Gold has long exhibited an inverse relationship with traditional equities, often acting as a counterbalance to stock market movements. When stocks experience volatility or decline, gold has historically seen increased demand by investors. 

This inverse correlation can be an attractive feature for investors seeking diversification in their portfolios, especially during times when the broader market is facing challenges. And, if your portfolio includes a large amount of Bitcoin, this could be the right time to take advantage of gold’s ability to move inversely to Bitcoin and many other investment assets.

Gold’s ability to hedge inflation

While the inflation rate has been tempered compared to what it was this time last year, the most recent inflation report showed that we may not be done just yet. Inflation ticked back up unexpectedly in December and is still hovering above the Federal Reserve’s target rate of 2% and it’s unclear what may happen in the future. 

But while the timeline for resolving the inflation issues may be up in the air, what’s clear is that gold has historically proven to be an effective hedge against rising prices due to inflation. The precious metal has historically maintained its purchasing power amid high inflation, making it an attractive option for investors who are concerned about the eroding effects of inflation on their portfolios.

The tangible asset appeal

Unlike Bitcoin, which exists purely in digital form, gold is a tangible asset with intrinsic value. Physical gold, whether in the form of gold bullion — like gold bars and coins — or jewelry, provides investors with a tangible asset they can hold. This tangible appeal can offer a sense of security and ownership that digital assets, like crypto, may lack.

The global economic uncertainty

The ongoing geopolitical tensions and economic uncertainties that are occurring across the globe can also contribute to increased demand for gold. In times of crisis or uncertainty, investors often flock to assets perceived as safer, and gold tends to be a primary beneficiary of such sentiment. So, given the current geopolitical climate, it could be a smart time to invest in gold — especially as Bitcoin’s value drops. 

The bottom line

As Bitcoin faces a period of correction following the SEC’s approval of ETFs, investors may find themselves at a crossroads, evaluating the resilience of their portfolios. While cryptocurrencies offer unique opportunities to investors, the recent market downturn also prompts a reconsideration of traditional safe-haven assets. And gold, with its historical stability, inverse relationship with equities, inflation-hedging qualities, tangible appeal and ability to thrive in times of global economic uncertainty, emerges as a compelling option.

That said, investors who are interested in gold investing should carefully assess their risk tolerance, investment goals and overall portfolio diversification strategy before making any decisions. While Bitcoin and gold represent distinct asset classes with different risk profiles, the current market conditions emphasize the importance of a well-balanced and diversified investment approach. And, in times of uncertainty, having a mix of assets that respond differently to market dynamics can help safeguard investors against the inherent volatility of financial markets.



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Search efforts continue after Hurricane Helene

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Search efforts continue after Hurricane Helene – CBS News


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It’s been more than a week since Hurricane Helene crashed ashore, and the full extent of the storm’s damage is still unknown as hundreds of thousands of people remain without power and other essential services. Meanwhile, authorities are still looking for missing people as the death toll from the storm rises.

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Israel airstrikes rock parts of Lebanon as Hezbollah launch rockets at air base near Haifa

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The escalating fighting between Israel and Hezbollah continued Saturday as both sides traded strikes as the war in Gaza nears one year.

The Israel Defense Forces said its air force struck Hezbollah fighters inside a mosque in southern Lebanon that they said was used as a command center to “plan and execute terrorist attacks against IDF troops and the State of Israel.”

The mosque was adjacent to Salah Ghandour Hospital in the town of Bint Jbeil. The hospital said in a statement that Israeli forces had shelled it after being warned to evacuate. The shelling “resulted in nine members of the medical and nursing staff being injured, most of them seriously,” while most of the medical staff were evacuated. On Thursday, the World Health Organization said 28 health workers in Lebanon had been killed in the past 24 hours.

LEBANON-ISRAEL-PALESTINIAN-CONFLICT
A man photographs the rubble of a building leveled by an Israeli airstrike that targeted Beirut’s southern suburbs.

ANWAR AMRO/AFP via Getty Images


At the same time, 12 Israeli airstrikes hit Beirut’s southern suburbs, including one that badly damaged a large hall Hezbollah used to hold ceremonies, Lebanon’s state news agency said.

Later in the day, more strikes hit the area, from which tens of thousands of people have fled over the past two weeks.

Israeli airstrikes also hit areas in southern and eastern Lebanon, according to state media. At least six people were killed, according to NNA.

Meanwhile, Hezbollah said it launched a series of rockets at an Israeli air base near Haifa, about 30 miles from the Lebanese border. Israeli police said fragments of interceptors fell in several sites but no injuries were reported, according to the Associated Press.

Israel has sharply expanded its strikes on Lebanon in recent weeks after nearly a year of exchanging fire with the Iran-backed Hezbollah — long designated a terrorist organization by the U.S., Israel and many other nations. The IDF has been carrying out nightly bombardment of Beirut’s once densely populated southern suburbs, a stronghold of Hezbollah. Overnight, a military spokesman issued three alerts for residents there to evacuate.

Israeli airstrikes on southern Lebanon continue
A view of the completely destroyed residential buildings after the Israeli army carried out airstrikes on the Dahiyeh area south of the Lebanese capital Beirut.

Houssam Shbaro/Anadolu via Getty Images


Nearly a week of Israeli ground operations in southern Lebanon, near Israel’s northern border, and two weeks of airstrikes in that region and in southern Beirut — both Hezbollah strongholds — had killed more than 2,000 people, the health ministry said. More than 1 million people have been driven from their homes, including tens of thousands under Israel evacuation orders in almost 100 towns and villages near the border.

Hezbollah started launching those attacks in support of its ideological ally Hamas, which is also backed by Iran, the day after Hamas sparked the ongoing war in Gaza with its Oct. 7, 2023 terrorist attack on Israel. The IDF says Hezbollah militants have fired over 10,000 rockets across the border since Oct. 8, 2023. The vast majority of them have been intercepted by Israel’s advanced missile defense systems.

Israel conducts more ground raids

The Israeli military said on Saturday its special forces were carrying out ground raids against Hezbollah infrastructure in southern Lebanon, destroying missiles, launchpads, watchtowers and weapons storage facilities. The military said troops also dismantled tunnel shafts that Hezbollah used to approach the Israeli border.

Some 1.2 million people have been driven from their homes since Israel escalated its strikes in late September aiming to cripple Hezbollah and push it away from the countries’ shared border. On Tuesday, Israel launched what it calls a limited ground operation into southern Lebanon.

Nine Israeli troops have been killed in close fighting in the area in the past few days, which is saturated with arms and explosives, the military said.

Americans attempt to leave Lebanon

The U.S. government has warned Americans not to travel to Lebanon since mid-September and urged any citizens in the country to leave via commercial travel routes. As of Friday night, the U.S. State Department has assisted approximately 500 U.S. citizens, permanent residents and their families to leave Lebanon on flights organized by the agency.

Other nations are also working to evacuate their residents from Lebanon. Germany has evacuated 460 citizens on German military flights, while a Dutch military transport plane carried more than 100 citizens out of Lebanon. There were also citizens of Belgium, Finland and Ireland who were repatriated on that flight.

NETHERLANDS-LEBANON-ISRAEL-PALESTINIAN-CONFLICT
A military aircraft, the Multi Role Tanker Transport Aircraft (MRTT), departs from Eindhoven Air Force Base for Beirut to evacuate Dutch people who want to leave Lebanon.

ROB ENGELAAR/ANP/AFP via Getty Images


“It’s great that these people are safely back in the Netherlands. These have been tense times for them,” Christiaan Rebergen, secretary-general of the foreign ministry, said after they landed Friday.

Fighting ongoing in Gaza

Palestinian medical officials say Israeli strikes in northern and central Gaza early Saturday have killed at least nine people, including two children.

One strike hit a group of people in the northern town of Beit Hanoun, killing at least five people, including two children, according to the Health Ministry’s Ambulance and Emergency service.

Another strike hit a house in the northern part of Nuseirat refugee camp, killing at least four people, the Awda hospital said. The strike also left a number of wounded people, it said.

The Israeli military did not have any immediate comment on the strikes but has long accused Hamas of operating from within civilian areas.

Earlier in the day, the Israeli military had warned residents in parts of central Gaza to evacuate, saying its forces would soon operate there in response to Palestinian militants.

The warnings cover areas along a strategic corridor in central Gaza, which was at the heart of obstacles to a ceasefire deal earlier this summer. The military warned Palestinians in areas of Nuseirat and Bureij refugee camps, located along the Netzarim corridor, to evacuate to an along Gaza’s shore called Muwasi, which the military has designated a humanitarian zone. It’s unclear how many Palestinians are currently living in the areas affected by the order, parts of which were evacuated previously.

Almost 42,000 Palestinians have been killed in Gaza during the almost year-long war, according to the Palestinian Health Ministry, which does not differentiate between civilian and militant deaths.



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1-month-old twins who died with mother believed to be the youngest-known Hurricane Helene victims

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Month-old twin boys are believed to be the youngest known victims of Hurricane Helene. The boys died alongside their mother last week when a large tree fell through the roof of their home in Thomson, Georgia.

Obie Williams, grandfather of the twins, said he could hear babies crying and branches battering the windows when he spoke with his daughter, Kobe Williams, 27, on the phone last week as the storm tore through Georgia.

The single mother had been sitting in bed holding sons Khyzier and Khazmir and chatting on the phone with various family members while the storm raged outside.

Hurricane Helene-Georgia Deaths
This undated photo combo shows from left, Kobe Williams, and her twin sons Khazmir Williams and Khyzier Williams who were killed in their home in Thomson, Ga., by a falling tree during Hurricane Helene on Monday, Sept. 30, 2024. (Obie Lee Williams via AP)

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Kobe’s mother, Mary Jones, was staying with her daughter, helping her take care of the babies. She was on the other side of the trailer home when she heard a loud crash as a tree fell through the roof of her daughter’s bedroom.

“Kobe, Kobe, answer me, please,” Jones cried out in desperation, but she received no response.

Kobe and the twins were found dead.

“I’d seen pictures when they were born and pictures every day since, but I hadn’t made it out there yet to meet them,” Obie Williams told The Associated Press days after the storm ravaged eastern Georgia. “Now I’ll never get to meet my grandsons. It’s devastating.”

The babies, born Aug. 20, are the youngest known victims of a storm that had claimed more than 200 lives across Florida, Georgia, Tennessee, Virginia and the Carolinas. Among the other young victims are a 7-year-old girl and a 4-year-old boy from about 50 miles (80 kilometers) south in Washington County, Georgia.

“She was so excited to be a mother of those beautiful twin boys,” said Chiquita Jones-Hampton, Kobe’ Jones’ niece. “She was doing such a good job and was so proud to be their mom.”

Jones-Hampton, who considered Kobe a sister, said the family is in shock and heartbroken.

In Obie Williams’ home city of Augusta, 30 miles east of his daughter’s home in Thomson, power lines stretched along the sidewalks, tree branches blocked the roads and utility poles lay cracked and broken. The debris left him trapped in his neighborhood near the South Carolina border for a little over a day after the storm barreled through.

He said one of his sons dodged fallen trees and downed power lines to check on Kobe, and he could barely bear to tell his father what he found.

Many of his 14 other children are still without power in their homes across Georgia. Some have sought refuge in Atlanta, and others have traveled to Augusta to see their father and mourn together, he said.

He described his daughter as a lovable, social and strong woman. She always had a smile and loved to make people laugh, he said.

And she loved to dance, Jones-Hampton said.

“That was my baby,” Williams said. “And everybody loved her.”



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