Why was the capital of Spanish Central America moved from Gracias to Santiago in 1548?

The capital of the Spanish colonial administrative region known as the Audiencia de los Confines was moved from Gracias, Honduras, to Santiago (modern-day Antigua Guatemala) in 1548 for several key reasons.123

While Gracias had been selected as the capital in 1544 due to its location in a gold-mining boomtown, the gold deposits were soon exhausted. Furthermore, the town was considered remote and isolated, making it an impractical administrative center for the region. Following protests from officials in Panama City and Santiago, the Spanish crown ordered the relocation of the capital back to Santiago de Guatemala in 1548.12