Bitcoin hits three-year highs under pressure against gold; experts see a rebound opportunity

The price relationship between Bitcoin and gold futures has reached a critical level not seen since early 2024. The market is trading Bitcoin at just 20 ounces of gold, marking a potential turning point after the digital asset’s strength against the precious metal significantly weakened in recent months.

Technical indicators point to extreme oversold conditions

Weekly charts depict an exaggerated liquidation scenario. The Relative Strength Index (RSI) on the weekly Bitcoin-gold trading has fallen to 29.5, a level not seen in nearly three years. This reading, typically associated with severe oversold conditions, suggests that the price may have fallen too far.

The most interesting developments occur in the daily analysis, where bullish divergences emerge. Michaël van de Poppe, a renowned analyst, highlights this technical setup as a sign of a possible short-term rebound, interpreting that Bitcoin is being unfairly punished compared to gold, which he considers overvalued in the current environment.

Risk of new lows if support is broken

However, the analytical community warns of an alternative scenario. If the support level of 20 ounces does not hold, further declines are likely, replicating patterns of previous bearish cycles. This is the risk factor that traders are monitoring.

Bitcoin’s three-year bullish trend against gold has almost entirely lost its momentum, raising the question of whether the precious metal truly deserves to trade higher than the digital asset in the coming quarters.