Gold hits a new high of $2,942/ounce. Will Bitcoin follow? A historic breakthrough may come in the next two weeks!

Here is the English translation of the text, with the specified terms retained and not translated: The recent period has seen Bitcoin and gold entering a delicate "dance" of sorts: both are seeking their own positioning in the context of global economic turmoil and loose monetary policy, despite their vastly different market characteristics, they have exhibited a surprising similarity to a certain extent. Particularly against the backdrop of gold prices breaking historical highs, many market participants have begun to speculate whether Bitcoin will follow in gold's footsteps in the short term and reshape its value trajectory. This article will conduct an in-depth analysis of the connection between Bitcoin and gold, and explore their short-term volatility and potential future trends. Gold Prices Reach Historic Highs, Bitcoin Experiences Short-term Correction On February 11, 2025, gold prices broke through historical highs, briefly touching $2,942 per ounce, before experiencing a pullback. At the moment when gold prices reached new highs, Bitcoin's price was unable to sustain its upward momentum and instead corrected by $1,500. According to TradingView data, BTC/USD experienced a sharp decline within a short one-hour period, with market sentiment suddenly turning tense. Binance's Selling Disrupted Bitcoin's Price Increase Behind this volatility is a recent news story about the cryptocurrency exchange Binance. The report suggests that Binance appears to have significantly sold off its holdings of major cryptocurrencies such as Bitcoin, Ethereum, and Solana, although Binance has denied these rumors. This news has exacerbated market unease and exerted short-term pressure on Bitcoin's price. However, it is worth noting that this is not an isolated incident. Binance's asset movements have frequently been the focus of market attention in recent months, but these fluctuations are usually temporary, reflecting more of a short-term market reaction. In stark contrast to Bitcoin's correction, the gold market has been booming. Against the backdrop of global economic uncertainty, gold, as a traditional safe-haven asset, has attracted a large influx of capital. Particularly in the context of escalating inflation and rising debt levels, investor demand for gold has surged rapidly, driving the continuous rise in gold prices. Therefore, as Wall Street opened for trading, Bitcoin's (BTC) price performance fell into difficulty, while the frenetic upward momentum of gold prices began to cool. After the market close, gold prices set a new high of $2,942 per ounce. Physical Gold Demand Surges, Market Sentiment Pushed to the Limit Gold's strong performance is not only reflected in the rise in prices, but also in the surge in market demand. According to the publicly available data on X from The Kobeissi Letter's trader, the global physical gold purchase volume has reached unprecedented levels. Specifically, in the COMEX gold inventory data, we see that gold holdings have surged by 15 million ounces in the past two months, an increase of 115%. This increase even exceeds the demand peak at the beginning of the COVID-19 pandemic, indicating that the gold market is experiencing a period of "supply shortage". The driving force behind this phenomenon is the long-term impact of liquidity injection in the United States and the continuous rise in inflation expectations. Against the backdrop of soaring US government debt, market concerns about the future depreciation of the US dollar have intensified, prompting capital to shift towards gold, a traditional "safe haven". Furthermore, as US bond yields rise, the bond market has suffered a severe blow, further highlighting gold's position as a major global hedging tool. It can be said that in the current macroeconomic environment, the strong performance of gold is almost inevitable. Bitcoin Emulating Gold's Path: Where to Next After Short-term Adjustment? If gold is the current market's king of safe havens, then Bitcoin is increasingly seen by many as the "digital gold" of the modern era. Although Bitcoin's price has experienced a certain degree of correction in the short term, its unique appeal as a digital asset cannot be ignored. Many analysts believe that Bitcoin is likely to replicate gold's performance, especially after experiencing the traditional lag period. Michaël van de Poppe, a seasoned analyst in the cryptocurrency field, recently shared his view on the social platform X, stating that he believes Bitcoin will set a new historical high in the next 2-3 weeks. He pointed out that the strength of gold will have a positive impact on Bitcoin, particularly in the short term, as the recovery of market sentiment may drive a rebound in Bitcoin's price. He also stated that the "ideal entry zone" for BTC/USD is around $90,000, suggesting that Bitcoin still has significant upside potential. From the long-term perspective of Bitcoin's trend, the strength of gold is often a harbinger of Bitcoin's upswing. Whether in 2017, 2020, or the present, the strong performance of gold usually has a significant impact on the Bitcoin market. It can be said that the relationship between Bitcoin and gold has gone beyond a simple asset comparison, and has become more like a mutual promotion in different market environments. Bitcoin's Future: From a Safe-Haven Asset to a Candidate for Global Wealth Reserve Charles Edwards, the founder of Capriole Investments, is full of confidence in Bitcoin's prospects. In his view, Bitcoin's upward trend is often closely related to gold. Whenever gold prices rise significantly, Bitcoin almost always experiences a similar breakthrough within 3 to 6 months. Edwards believes that the core driving force behind this phenomenon is the acceleration of monetary policy easing by global central banks, as well as the growing demand for gold and Bitcoin in various countries. "The relationship between gold and Bitcoin is becoming an integral part of the modern financial system," Edwards wrote on his social platform. "Whether as an inflation hedging tool or as a means of wealth preservation, both will continue to play an important role in the global economy." He also emphasized that as central banks increase their gold reserves and investor interest in digital assets continues to grow, Bitcoin and gold will jointly become the two most important assets in the face of future global economic uncertainties. Conclusion: The Future Path of Bitcoin and Gold In summary, although Bitcoin may face certain corrections and volatility in the short term, its long-term upside potential remains strong. Gold and Bitcoin, two seemingly vastly different assets, are actually playing similar roles as safe havens in the context of heightened global economic uncertainty and loose monetary policy. From a long-term perspective, Bitcoin may follow a path similar to gold, becoming a global wealth reserve and hedging tool.

In the coming weeks, the market will continue to observe whether Bitcoin can replicate the upward trend of gold. Regardless of short-term fluctuations, in the long run, the relationship between Bitcoin and gold will become increasingly close, and investor demand for these two assets will continue to heat up. For investors seeking hedging and wealth appreciation, Bitcoin and gold will undoubtedly be important targets in the future financial market.