In this article5 sections
Spot gold fell $141.60, or 3.52%, to about $3,879.90 an ounce on October 30, and Peter Schiff read the slide as evidence of a short-term liquidity squeeze rather than the end of the metal’s advance, according to Cointribune. Writing on X, Schiff said the roughly $150 daily decline in gold and the more than $3 fall in silver were “ridiculous” and tied them to a liquidity problem likely to surface in wider markets, per his post. He called the move an unexpected gift to investors to buy more.
The drop stood out because precious metals usually draw buyers when geopolitics and equities turn ugly. This time they fell alongside stocks and crypto: the S&P 500 lost 1.8% to 7,580.07, its worst session since June, the Nasdaq Composite slid 2.9%, and Intel tumbled nearly 29% after weak profit guidance. Bitcoin, hit by the $6.3 billion Binance theft, touched a six-week low of $76,368 before recovering above $77,000, Bitcoin.com News reported.
Also read: Bitcoin nears $77,000, set for worst October since 2014
Key facts
- Spot gold lost $141.60, or 3.52%, to about $3,879.90 an ounce on October 30; Cointribune put the level near $3,880.
- Spot silver dropped $3.15, or 6.06%, to roughly $49.02, widening the gold-silver ratio, per Bitcoin.com News.
- The S&P 500 fell 1.8% to 7,580.07 and the Nasdaq Composite 2.9%, while Intel plunged nearly 29%.
- The Federal Reserve held its benchmark rate at 3.75%-4.00% on the preceding Wednesday, with two policymakers favoring a hike.
- September core PCE inflation was 3.1% year over year, third-quarter GDP grew 3.4% annualized, the 10-year Treasury yield sat near 4.93%, and West Texas Intermediate crude settled at $104.12 after a tanker attack in the Strait of Hormuz.
Margin calls and a rush for dollars
Analysts quoted by Cointribune and Kitco, cited by Bitcoin.com News, described the session as a technology-led equity selloff that forced liquidation across metals. Leveraged investors facing margin calls sell their most liquid holdings first, which turns gold into a source of cash rather than a refuge. Futures recorded their lowest close since October 2025.
Schiff’s reading is a forecast rather than a confirmed diagnosis: a one-day selloff across asset classes does not by itself establish a liquidity crisis. Bitcoin.com News noted that he has spent months arguing metals would beat risk assets, including bitcoin, and in August urged investors to sell bitcoin and buy gold.
Binance hack hits crypto stocks
The breach ran from October 29-30 and drained about $6.3 billion from Binance hot wallets across ten blockchains, Crypto Briefing reported. Attackers reached withdrawal infrastructure through a compromised laptop belonging to a Binance DevOps engineer, and TRM Labs and Chainalysis attributed the operation to TraderTraitor, a group linked to North Korea. Analysts at Cantor Fitzgerald, TD Cowen and Compass Point told clients the resulting selloff in Coinbase, Robinhood and MicroStrategy shares was a buying opportunity, pointing to roughly $3 billion in frozen assets, company reserves exceeding $6.34 billion and a plan to restart withdrawals within days. Moody’s flagged hot-wallet and concentration risks instead.
Why it matters
Gold, silver and bitcoin all fell on the same day, which undercuts the idea that any of them reliably hedges a portfolio during a forced deleveraging. The losses were driven less by doubts about their long-term role than by investors needing dollar cash quickly while yields stay high and inflation holds above target. The same week’s Binance theft added a crypto-specific shock that metals did not face, so the shared direction of the two assets reflects a common scramble for liquidity rather than proof that the market treats them alike.
What to watch
The November 2 session is the first test of Schiff’s claim: if stocks fall again while metals stay weak, the liquidity pressure is spreading; if Wall Street steadies and gold rebounds, the forced selling probably ended in one session. Gold’s break below support near $3,975 may have accelerated sell orders without signaling deeper trouble, Cointribune reported. Bond yields, the dollar and margin calls on tech stocks are the indicators to follow, along with Binance’s promised resumption of withdrawals and its proof-of-reserves report.
Schiff also tied the selloff to politics, noting on X that the odds of Democrats winning the Senate stood at 71% and could rise if stocks crashed. This article is not financial advice; gold, bitcoin and equity markets are volatile and their direction is uncertain.
Reported by Cointribune.
Sources: Cointribune, Bitcoin.com News, Crypto Briefing