Different indicators are used in the crypto currency market to estimate the rise or possible decreases of Bitcoin (BTC). Recently, however, the performance of gold against Bitcoin has become an important indicator for BTC’s future price movements. While the price of Bitcoin fluctuates at the levels of 86 thousand dollars, the weakness of gold across Bitcoin may indicate a new wave of rise. As Kriptokoin.com, we transfer the details.
Gold and Bitcoin Competition: BTC is getting stronger
Although Bitcoin is known as “digital gold ında in recent years, traditional gold is still thought to be a safe port for investors. However, when we look at the Gold/BTC parity, it is seen that gold lost value against Bitcoin.
Particularly since January 2023, gold is in a constant trend of Bitcoin. On the other hand, BTC performs stronger performance than gold prices in traditional markets. Currently, the Gold/BTC parity is approaching the 200 -day EMA level for the fifth time. This level, which was previously tested four times, resulted in a strong start of Bitcoin each time. If this model persists, a large rise for BTC may be at the door.
Critical Level for Bitcoin: 200 -day EMA
Bitcoin’s 200 -day exponential moving average (EMA) level can be an important signal for investors. When the past data is examined, it is seen that Bitcoin gained value in each theme of gold to this critical level.
Particularly after four contacts, BTC has great price movements. Currently, the fifth test is about to happen and this may be the beginning of a new bull run for BTC. However, as in the previous cycles, market dynamics should be supportive in order to experience a definite rise.
Does Bitcoin offer an opportunity to purchase?
Another important indicator of Bitcoin’s rise is RSI (Relative Power Index) data. When the SPDR Gold Shares (GLD) graph is examined, it is seen that gold is a decrease trend at the RSI level.
This shows that gold has lost its rise momentum and can potentially lose value. If there is a decline in gold prices, one of the biggest competitors in front of Bitcoin will be weakened. This may mean a major price increase for BTC.
The rise scenario for BTC is strengthening
Historical data and technical analysis indicators show that Bitcoin may experience a strong rise in the coming period. Especially:
- The Gold/BTC parity reaches the 200 -day EMA level, a rally signal for BTC.
- The weakness in the RSI indicator of gold shows that Bitcoin has become a more attractive option for investors.
- Bitcoin’s continuous strengthening against the bottom of the long run in the BTC’s leading investment tool increases the likelihood.
However, investors need to be careful. Since the crypto currency market has high volatility, prices can suddenly change direction. Nevertheless, technical indicators show that BTC will maintain its advantage over the long run and that a major rise may come.
