Bitcoin's price dropped 7% this week, while gold reached record highs. This divergence in asset pricing raises questions among market participants.
Bitcoin Loses Ground, Gold Rises
Bitcoin's price fell by 7% from $88,060 on March 26 to $82,036 by March 29. This drop led to $158 million in long liquidations. Meanwhile, gold surged to a record $3,087 on March 28, putting pressure on Bitcoin's narrative as 'digital gold.'
Long-term Holders Remain Sidelined
Long-term Bitcoin holders paused accumulation since November 2024, underlining market fragility. Analyst Ali warns that their return could signal a trend shift.
Analysts Highlight Bearish Targets for BTC
Analysts Altcoin Sherpa and Crypto Capo have noted that technical analysis suggests Bitcoin could fall into the $50,000–$60,000 range if current macroeconomic conditions persist. They believe a close below the $84,000–$85,000 range could trigger further selling.
The decline in Bitcoin's price, amid rising gold prices and inactive long-term holders, raises the chances of further breakdown. Traders eye $62,000 as the next major support, but renewed buying from long-term holders or central bank dovishness could alter this outlook.
