MICA Daily | Analyst: BTC and gold market cap ratio welcome 'Bull Market turning point'

Renowned Technical Analysis expert Peter Brandt pointed out that the Market Cap ratio of BTC to gold recently flashed a "bullish signal," which is a positive sign for investors bullish on BTC in the long term. It indicates that compared to gold, funds now have a stronger preference for BTC. This week, the inflow of funds into BTC ETFs reached a record high, and Wall Street's enthusiasm for BTC has soared to unprecedented levels.

After experiencing a month-long Bull Market, BTC's price has been continuously soaring. Although there was a brief pullback at the beginning of this week, BTC has surged from $68,000 at the beginning of November to a historical high of over $103,679 within the past 30 days. The brief pullback may just be a consolidation before the next surge. By 2024, BTC has outperformed stocks and bonds, and even significantly outpaced the spot gold market.

He stated that the market seems to be ready to break the 'BTC vs. Gold Resistance Line' of the past four years, which may indicate a stronger Bull Market trend than the past 12 months. BTC's performance against gold is particularly impressive, not simply driven by US dollar inflation. Similar to BTC, gold is scarce in supply and has extremely high manufacturing costs. Therefore, the appreciation of BTC relative to gold reflects its value growth beyond traditional hedge assets, directly implying that hedge investors' preference is rapidly shifting from gold to BTC.

Disclaimer: The article represents only the author's personal views and does not represent the perspective and position of the block. All content and views are for reference only and do not constitute investment advice. Investors should make their own decisions and trades, and the author and the block will not bear any responsibility for the direct or indirect losses incurred by investors' transactions.

〈MICA Daily | Analyst: BTC and Gold Market Cap Ratio Welcome 'Bull Market Turning Point'〉This article was first published on 'Blocklike'.

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