
This forced liquidation increased in the U.S. stock market yesterday following hawkish comments from Federal Reserve Chair Jerome Powell, who warned that volatility will increase going forward. Investors turn to gold for defense given prolonged U.S.-China negotiations and a weakening dollar-producing environments typically seen to hedge against uncertainty.
Gold Surges Past $3,300 – A Signal for Bitcoin ?
Recently, gold recorded a new price milestone of $3,371, and at the time of writing, the precious metal trades at about $3,335. Traditional markets have become increasingly burdened with macroeconomic pressure. Traditionally, rallying the precious metal has heralded bullish momentum in the crypto markets, particularly Bitcoin.
Analysts are pointing to this correlation again.
Gold Always Boosts Up Before Bitcoin
Market analyst "The Bitcoin Therapist" has recalled the fact that, throughout history, gold has always tended to pump before Bitcoin goes bullish. The following chart shows price cycles between 2015 and 2025 and captures six crucial instances when the price of BTC entered into an upward trend after the precious metal.
This situation seems to repeat itself. Gold might have already peaked at "cycle point 6," indicating that BTC would soon change direction.
The Bitcoin Therapis
BTC Price Analysis: Bullish Signals Developing
Currently, the asset is trading at around $84,650, which is a minor increase of 1.83% in the last 24 hours. This increase looks minimal, but technical and on-chain data suggest that something is brewing for a more substantive move.
Significant Technical Indicators
TD Sequential Buy Signal: According to Ali Martinez, the TD Sequential on Bitcoin's weekly chart just flashed a buy signal. A close above $86,000 could confirm the signal and lead to a fast track to $90,000 or even $95,000.
Ali Martinez
Tightness in Supply Zone: Data from IntoTheBlock shows BTC falls between the two heavy supply zones- $81,440 and $86,430. A break outside this range would catalyze a mass buying frenzy.
Technical Indicators
Institutional Movements Signal Accumulation
In support of this bullish claim, Arkham Intelligence reported that a wallet associated with Abraxas Capital pulled down 1,107 BTC (~$93.47M) from exchanges. This indicates a strong institutional conviction.
Arkham Intelligence
The Macro Picture: Bitcoin versus Gold as Inflating Hedging Competitive Markets
As inflation concerns ramped up and the U.S. dollar lost more of its resilience, the debate of precious metal or Bitcoin as safe-haven assets intensified within the circuits of America's cities. Short term, precious metal shines bright, while the top currency remains the high-beta alternative that is often to be found lagging in the follow-up.
Gold's recent rally, coupled with weaker equities and rising global uncertainty an ideal setup for the emergence of the asset into the next decade as the digital store of value.
Is a Bitcoin Breakout Inevitable?
In short, nothing in markets is guaranteed, but movement since then has made it possible for the world's largest cryptocurrency. If shiny precious metal tops out and the technicals turn green, expect BTC to repeat its traditional pattern of surging after shiny precious metal peaks.
Keep a keen eye on the $86K range that could push towards another all-time high, clutch your assets, and dump if it comes to that.
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