Bitcoin (BTC) saw a decline towards $69,000 after the Wall Street opening on April 12, while gold outperformed BTC in terms of price action.
According to data from Cointelegraph Markets Pro and TradingView, BTC/USD showed a lackluster performance towards the end of the week. Despite a decrease in outflows from the Grayscale Bitcoin Trust (GBTC), Bitcoin did not show signs of optimism as bid liquidity dropped below $70,000.
J. A. Maartunn, a contributor to the on-chain analytics platform CryptoQuant, attributed this dip to Coinbase, stating that the Bitcoin price on Coinbase was $70 lower compared to Binance.
While Bitcoin struggled, gold reached new record highs of $2,431 per ounce. The S&P 500 and Nasdaq 100 indexes were both down around 1% at the time of writing, aligning with Bitcoin’s performance.
Some sources, such as The Kobeissi Letter, expressed concern about gold being an outlier in the current macroeconomic landscape, as factors that historically led to lower gold prices were occurring now, except for central banks stocking up on gold and geopolitical tensions rising.
BTC/USD has been trading within a narrow range for several weeks, with little news for short-term traders. Attention is now focused on the upcoming block subsidy halving, which could bring volatility to the market.
Trader and analyst Rekt Capital described this phase as a “re-accumulation phase,” which has historically occurred before halvings. He also mentioned that this re-accumulation phase could last up to five months, and some investors might get shaken out due to boredom, impatience, and disappointment with the lack of immediate results after the halving.
Please note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any investment decisions.