Bitcoin vs Gold Ratio Signals Major Trend Reversal After 12-Week Slump

Bitcoin vs Gold Ratio Signals Major Trend Reversal After 12-Week Slump

The Bitcoin-to-Gold ratio is showing signs of a significant trend reversal after 12 weeks of gold outperformance, according to technical analysis from leading crypto experts. This shift could mark a crucial turning point for Bitcoin’s price trajectory in 2025.

In a notable development that aligns with recent bullish Bitcoin price predictions, the BTC/XAU ratio has broken above a key trendline resistance, suggesting Bitcoin may be ready to catch up with gold’s impressive 22% year-to-date rally.

Key Technical Developments:

  • Bitcoin-Gold ratio breaks above critical trendline resistance from January and March highs
  • MACD histogram shows positive flip, indicating bullish momentum shift
  • 5-day and 10-day SMAs complete bullish crossover
  • Gold’s 22% YTD surge vs Bitcoin’s 8% decline creates potential catch-up opportunity

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Monero (XMR) Technical Analysis

Meanwhile, privacy-focused cryptocurrency Monero has triggered a significant technical signal with a golden cross formation on its weekly chart. Key levels to watch:

  • Resistance: $242 (February high)
  • Secondary resistance: $289 (April 2022 high)
  • Support: $200 (psychological level)
  • Strong support: $165 (recent weekly low)

Expert Analysis

According to Theya Research’s Joe Consorti, Bitcoin typically lags gold by 100-150 days in major market cycles. This historical pattern, combined with the current technical breakout, suggests Bitcoin could be positioning for significant gains against gold in the coming months.

FAQ

What is a golden cross?

A golden cross occurs when a shorter-term moving average crosses above a longer-term moving average, typically signaling a bullish trend change. In Monero’s case, the 50-week SMA has crossed above the 200-week SMA.

Why is the Bitcoin-Gold ratio important?

This ratio helps investors compare Bitcoin’s performance against traditional safe-haven assets and can signal potential rotation between the two assets.

What’s driving gold’s outperformance?

Gold’s 22% surge is attributed to haven demand and arbitrage opportunities between international markets and U.S. Comex futures.