gold’s sharp reversal It’s starting to have an impact. How some market observers see Bitcoin’s next move. Verified analyst Joao Wedson, in a market note shared by
Gold’s Euphoria Peak Was a Warning Sign
Retail and institutional enthusiasm peaked in late January when gold hit a record high of $5,589 per ounce. However, cryptocurrency analyst Joao Wedson labeled this move at the time as a buying climax consisting of a sudden massive price surge driven by euphoria.
The attached chart is ‘s post Joao Wedson captures exactly that moment. It marked BC near gold’s high before gold plunged and then tested it in early March, but failed to produce a sustained breakout above the January high.
As of Sunday, March 22, 2026, gold is trading at $4,493 per ounce, down about $150 (about -3.23%) from yesterday’s price of $4,643. On March 19, gold traded as high as $4,551, a decline of about 18.5% in less than two months and the seventh straight selloff. Worst week of price volatility since 1983.
Gold buying climax. Source: @joao_wedson On
How does this affect Bitcoin?
Bitcoin It performed very poorly Compared to gold this year, both assets Adjustments during downturns. The top half of the Wedson chart draws a direct line from gold’s reversal to the decline of Bitcoin itself. His point is not that both assets move tick by tick during a crash, but that Bitcoin often reacts more abruptly. in terminal stages Gold’s weakness.
Bitcoin is not ahead of gold in circulation, but it reacts to it and reacts violently. The speed of Bitcoin’s price movement means that the final stage of gold’s current decline, which is not yet complete, carries enormous risks for the major cryptocurrency.
According to analysts, the real opportunity for a Bitcoin rally will only begin when gold’s circulation phase nears its end and capital begins to flow back into risk assets like Bitcoin. However, the process is not a quick handoff. In his view, the transition could take months and the full effects may not be clear until late 2026.
As of this writing, Bitcoin is trading at $68,796, down 2.6% in the last 24 hours. However, recent price movements Bitcoin is starting to outperform gold.In the last 24 hours, the BTC/Gold pair on TradingView is up 3.68%.
Bitcoin/Gold. Source: TradingView
Featured image from Unsplash, chart from TradingView
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