Michael Cuggino, President and Portfolio Manager at Permanent Portfolio Funds, argues that cryptocurrencies are not a suitable replacement for gold. Instead, their performance aligns more closely with technology sector growth and loose monetary policies. Speaking to CNBC, Cuggino explains that investors should avoid treating these two asset classes as interchangeable. Cuggino notes a shift in his perspective from seeing crypto replacing gold to both assets rising in value, highlighting that crypto’s shorter trading history (around 10-15 years) showcases stronger correlation with technology indices and periods of looser monetary policy compared to gold’s performance tied to long-cycle trends. His analysis emphasizes the influence of factors like a potential decrease in Fed interest rates, geopolitical instability, central bank purchases, and the possibility of negative real interest rates on gold’s recent surge.