Copper-to-gold ratio don clear 200D as BTC dey test $79k–$82k
Di copper-to-gold ratio don break pass im 200-day moving average for di first meaningful time since September 2020, e climb reach 0.00142. Copper dey quoted around $6.65/lb and gold near $4,700/oz.
For traders, copper-to-gold ratio na macro proxy for risk appetite. For past cycles (2013, 2017, 2021), similar surges dey often mark early phases of Bitcoin strength. The article still talk say BTC correlation with copper-to-gold ratio don rebound sharply from near -1.0; the latest 20-day correlation na about -0.11.
New update for later report: the signal coincide with one CryptoQuant reading wey flip bullish on May 12 for the first time since March 2023, e precede BTC move from roughly $20,000 to above $73,000 by April 2024.
BTC now dey trade for technical test zone of $79,000–$82,000. Key resistance dey flagged at $82,000–$83,000 and support near $77,500. Still, the article warn say correlation no be causation and macro signals fit produce false breakouts, especially if ETF flows and regulation dynamics dominate.
Bullish
Di copper-to-gold ratio wey don break above im 200-day moving average dem dey frame am as historical risk-on setup wey plenty times don dey come before big BTC uptrends by weeks to months. Di later report add confirmation from CryptoQuant, wey turn bullish on May 12 after long neutral stretch—supportive of continuation theme.
Near-term, BTC dey test $79,000–$82,000, with resistance above. That one make di move potentially constructive but no be guaranteed. Di article caution about weak/unstable correlation (about -0.11) and risk of false breakouts mean say traders suppose watch whether ETF flow and regulation-driven demand for real go keep price above di $82,000–$83,000 resistance zone.