Bitcoin Breaches 12-Year Support Line Against Gold – Is The Bull Run Over?

This article discusses the recent struggles of Bitcoin in the cryptocurrency market, juxtaposed with the impressive rally of gold. The article highlights the underperformance of Bitcoin against gold, with Bitcoin failing to break past key resistance levels while gold continues to soar. The comparison between BTC and gold is illustrated through a chart showing the BTC-to-gold ratio over the past 12 years.

The article also delves into the contrasting capital flows into BTC and gold ETFs, with gold ETFs attracting significant inflows while BTC ETFs experiencing outflows. This shift in investor sentiment from risk-on to risk-off assets is attributed to various factors like trade tariffs, the Federal Reserve’s monetary policy, and the stock market’s recent downturn.

The potential implications of Bitcoin’s underperformance against gold on the longevity of the crypto bull market are discussed, with opinions from market analysts and renowned gold advocates. The article also explores macroeconomic factors that could potentially turn the tide in favor of Bitcoin, such as cooling inflation and a breakdown in the US dollar index.

Overall, the article provides a comprehensive analysis of the current market dynamics between Bitcoin and gold, shedding light on the uncertainties and potential opportunities in the crypto market.