Bitcoin dropped to around $58,000, a roughly 50 percent decline from its October 2025 peak, as gold fell below $4,000 and silver lost more than half its value. The selloff follows a broader shift in investor preferences after the Federal Reserve under Chair Kevin Warsh adopted a hawkish stance, signaling two quarter‑point rate hikes by March 2027 and raising real yields. A stronger U.S. dollar, up 0.8 percent this week, also increased the cost of holding non‑yielding assets for foreign buyers. The trend reflects the unwinding of the "debasement" trade, in which investors had positioned in gold, silver and bitcoin as hedges against perceived currency erosion. Through 2025, the three assets had moved largely together, but recent price movements show a divergence in relative performance. Bitcoin's price decline brought it below its 200‑week moving average of about $60,000. Since February, when price ratios of bitcoin to gold and silver reached lows, bitcoin has outperformed gold by about 30 percent and silver by more than 55 percent. Analysts note that bitcoin functions both as a speculative risk asset and a hard‑money hedge, and current market conditions align both roles with the broader downturn in scarce assets.