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Gold Ratio

Definition

The gold ratio, in financial markets, typically refers to the relationship between the price of gold and other assets, such as fiat currencies or other commodities. This is used to gauge relative value or economic conditions. In the context of digital assets, it might compare the price of Bitcoin or other cryptocurrencies to gold, serving as a metric for assessing their relative safe-haven status or store-of-value properties. This comparison provides insights into investor sentiment regarding traditional versus digital hedges.