Erik Voorhees, one of Bitcoin’s earliest advocates and the founder of ShapeShift, has made a striking pivot into gold, signaling a broader trend among crypto pioneers seeking stability amid volatile markets. The Bitcoin veteran spent $6.81 million in USDC to acquire 1,382 ounces of PAXG, a gold-backed token similar to Tether Gold, at an average price of $4,926 per ounce, according to blockchain analytics from Lookonchain.
From Digital Gold to Tangible Bullion
Voorhees, who entered the Bitcoin ecosystem in 2011 and has long championed the cryptocurrency as “digital gold,” appears to be embracing a hybrid portfolio strategy. Analysts suggest that his purchase of tokenized gold reflects both a hedge against crypto volatility and a belief in the enduring value of traditional safe-haven assets.
“Voorhees’ move signals that even crypto’s earliest adopters are balancing risk by holding both physical and tokenized gold,” noted analyst Jacob King.
Gold has rebounded sharply from its February lows, trading at $5,048 per ounce, up nearly 15% from its $4,402 trough on February 2. The surge has been supported by strong central bank buying, inflows from gold ETFs, and broader macroeconomic dynamics favoring hard assets.
Analysts Eye $6,000+ Milestone
Technical analysts and financial institutions are projecting further gains. Rashad Hajiyev highlights that gold has tested key resistance levels, suggesting a near-term breakout to $5,200 per ounce, followed by range-bound trading. Wells Fargo recently raised its 2026 target to $6,100–$6,300, citing geopolitical risk, central bank demand, and market volatility as key drivers.
Long-term projections are even more bullish. Daniel Oliver of Myrmikan Capital estimates gold could surge to $12,595 per ounce, fueled by central bank accumulation and fears of a “government bond death spiral.”
Macro Shifts Favor Hard Assets
Gold’s performance relative to equities underscores its appeal. Since 2000, gold has appreciated 1,658%, outpacing the S&P 500’s 460% gain. Analysts argue that structural shifts in U.S. policy—from prioritizing dollar dominance to reindustrialization and trade rebalancing—are creating a softer dollar environment, boosting demand for precious metals.
“This isn’t purely speculative buying. Investors are responding to a macroeconomic shift that favors hard assets like gold,” said Sunil Reddy, a market strategist.
Voorhees’ purchase of PAXG fits neatly into this narrative: a hedge against dollar weakness, a stabilizer against crypto volatility, and a bet on gold’s continued relevance as a strategic portfolio asset.
Crypto Veterans Take Note
Voorhees’ move highlights a growing trend among crypto insiders who are diversifying into tangible, regulated assets without abandoning digital finance entirely. By using tokenized gold, he maintains on-chain exposure while mitigating risks associated with crypto price swings.
Gold may now be attracting both traditional and crypto-native investors looking for balance in turbulent markets. As Bitcoin continues its volatile trajectory, strategic allocation into hard assets could become a blueprint for seasoned crypto participants.
Investor takeaway: While analysts forecast strong upside, all market participants should conduct their own due diligence before following high-profile moves.