This breakout was also developed on silver strength, but the bullish momentum from the 690 area during the past three months indicates that Bitcoin prices are stabilizing despite strong bullish momentum in the silver market.
This indicates that Bitcoin remains strong despite a strong rally in precious metals.
Final Words –Bull Market Structure Maintains Above $50K
Bitcoin has solid long-term bull market structure in place despite this pullback. The correction from record high to the $50,000 to $60,000 must be considered a test of the big accumulation zone and not a breakdown.
The BTC-to-gold ratio also supports this view, which has hit extremely oversold levels. This indicates that a major bottom for Bitcoin has been in the making. This bottom may trigger a strong rally in Bitcoin prices.
Meanwhile, the strength in silver reaffirms that the overall hard asset cycle is on. But Bitcoin’s ability to hold its own against both gold and silver suggests it has not lost its long term leadership.
Technically, the Bitcoin bull market is intact with the price staying above the $50,000 support level. As long as the $50,000 holds, the price will likely break the new record levels. However, a break below $50,000 will trigger a deeper correction to $35,000 before the next surge.
If you’d like to know more about how crypto markets work, please visit our educational area.