Gate News Report, March 24 — The correlation between Bitcoin and gold significantly decreased in March, with the latest data showing this indicator has fallen to around -0.9, hitting a new low since 2022. This rare divergence, combined with gold’s four-week decline and Bitcoin’s sideways movement near $70,000, is being viewed by the market as a potential cyclical turning point.
Analyst Michaël van de Poppe pointed out that the current Bitcoin/gold ratio’s decline of about 70% aligns closely with the lows of multiple bear market cycles in history. In 2014, 2018, and 2022, the ratio dropped over 75% before reversing. The current structure suggests Bitcoin may have entered a bottoming phase and could gradually begin a new upward cycle.
On-chain data also supports this view. CryptoQuant shows that similar negative correlation levels appeared at the end of 2022, when Bitcoin reached $15,600 before entering a long-term rebound. Meanwhile, the number of whale addresses holding over 1,000 BTC continues to grow, indicating large funds are still positioning within the current range.
On the other hand, veteran trader Peter Brandt pointed out that gold is forming a rare “Nine Red Bird” bearish pattern, which has appeared very few times in history and typically signals a long-term correction cycle. This further reinforces the possibility of capital shifting from traditional safe-haven assets to digital assets.
Market research firm Swissblock believes Bitcoin has been the first to price in risk during this round of geopolitical conflict and has quickly stabilized and rebounded, demonstrating stronger market adaptability. This performance is changing the traditional perception of Bitcoin as a “high-volatility asset.”
In the short term, Bitcoin’s movement will still be influenced by macroeconomic data, including PMI and employment figures. But structurally, the deepening negative correlation with gold, combined with on-chain accumulation behavior, is building a more resilient bottom zone.
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