When Will Bitcoin Reach New Highs? Gold Rally Holds The Key

While stock markets achieve unprecedented records and gold surges past $3,900, Bitcoin (BTC) has remained stagnant during this latest traditional market upswing. The leading cryptocurrency, frequently promoted as digital gold, has been confined to a $100,000–$120,000 trading band for almost three months after establishing new peaks in July and August. This delay follows a recognizable trend: over recent years, Bitcoin and gold have alternated leadership—gold's advances often coincide with BTC consolidation, and when gold retreats, Bitcoin typically resumes its upward trajectory. From January through April, BTC dropped approximately 30% while gold initiated its next surge, climbing about 28% to $3,500 during peak global tariff tensions. Gold then plateaued until August when Bitcoin seized momentum, skyrocketing roughly 60% from bottom to top to set fresh records. According to ByteTree CIO Charlie Morris, "Gold thrives with low rates and weak economies, whereas Bitcoin prefers robust economic conditions." Morris noted the BTC-gold correlation remains minimal at around 0.1. With gold currently riding a seven-week winning streak toward $4,000 (up 17%) while Bitcoin lingers below $120,000, historical patterns suggest any gold slowdown or sideways movement could trigger Bitcoin's next breakout toward record levels. "The positive outlook for Bitcoin is that gold will inevitably exhaust itself," Morris concluded.