Analyst Predicts Bitcoin Price May Align with Gold Bull Run in Three Months

The price movements of Bitcoin (BTC) often mirror the upward trends of gold, albeit with a delay typically spanning several months of stagnation in the Bitcoin market.

Bitcoin’s Future Trends According to Analysts

An analyst noted on August 13 that Bitcoin’s price trajectory could begin to show promise as it transitions from its current range-bound state. This information comes from a post made by the founder of Capriole Investments, who discussed how Bitcoin may take some time before aligning its trends with that of gold.

Bitcoin’s Lag Behind Gold

Recent trends indicate that Bitcoin has been underperforming on a macro scale, particularly in comparison to rising asset prices including gold and U.S. stock indices. Prior to a recent sell-off, both gold and the stock market were setting new records while Bitcoin remained stagnant.

According to Capriole’s insights, there is optimism regarding Bitcoin’s future performance; a chart comparing Bitcoin’s price actions with gold since late 2019 suggests that Bitcoin usually follows gold’s upward trends after a specific delay.

• When gold shifts to a new trend, Bitcoin tends to follow three months later.
• “As a rough rule of thumb, macro Bitcoin trends often lag behind gold,” the analyst noted.

“Looks promising.”

Positive Outlook for Bitcoin Prices

Gold recently reached its latest all-time high in mid-July, according to data from sources such as Cointelegraph Markets Pro and TradingView. Market commentators are speculating that the interplay between Bitcoin and gold price movements could lead to favorable returns for Bitcoin holders in the coming year.

William Clemente, from Reflexivity, shared insights into gold’s behavior post the introduction of exchange-traded funds (ETFs) in 2004, noting that gold experienced a 10- to 12-month consolidation period before its eventual price increase.

“If BTC follows, we see a confluence with other factors predicting positive outcomes into 2025.”

Looking at the broader picture, both Bitcoin and gold have performed well this year, with Bitcoin continuing to lead as one of the top-performing assets. Despite a recent decline, Bitcoin has seen a year-to-date growth of 34%, with gold showing approximately 19% growth.

“Bitcoin and Gold are currently the top-performing major assets in 2024. Historically, we haven’t seen both coexist in the top two positions for the entire year,” observed Charlie Bilello, a market strategist, referring to data that supports this trend.

This content is not intended to serve as financial advice. Investing and trading carry inherent risks, and readers should ensure they do appropriate research before making financial decisions.