Bitcoin Price Prediction Amid Gold’s Parabolic Rally to Second-Largest Reserve Asset

Coingapestaff
Updated
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Bitcoin price prediction as gold becomes the world’s second-largest reserve asset after a parabolic rally

Highlights

  • Bitcoin price drops 5.13% to $105K, testing key demand zone near $100K.
  • Gold becomes the world’s second-largest reserve asset after a parabolic rally.
  • Peter Schiff criticizes BTC’s decline while CZ defends its long-term growth.

The Bitcoin price has dropped by 5.13% in the past 24 hours to trade at $105,217.60, extending its recent correction. This decline comes as market sentiment cools following weeks of sustained bullishness across risk assets. Despite the retracement, long-term investors appear patient, waiting for signs of stabilization within key support zones. The current setup suggests that the market could soon approach an inflection point where buyers regain conviction.

Bitcoin Price Action: Can BTC Reclaim Strength Above $107K?

The Bitcoin price could test the $100K demand zone before initiating a rebound toward higher levels. The bearish MACD crossover reinforces this probability, highlighting fading bullish strength and validating a short-term corrective phase.

The zone between $99K and $101K has historically acted as a reliable defense, where liquidity absorption often leads to strong rebounds. If BTC price stabilizes here, buyers may step in aggressively to reclaim the $107K mark. 

Once that level is retested successfully, the next target could shift toward $115K, representing a potential shift in market structure. Sustained accumulation around $100K would align with the long-term Bitcoin price prediction of a gradual uptrend toward $125K. 

Moreover, traders anticipate that renewed demand from long-term holders could further strengthen recovery prospects. Specifically, a daily close above $107K would confirm buyer confidence, while a breakout past $115K may reestablish upward momentum. Therefore, Bitcoin’s reaction at the demand zone remains pivotal for defining its next directional move.

Bitcoin price action
BTC/USD 1-Day Chart (Source: TradingView)

Gold’s Parabolic Rally and Its Ripple Effect on Bitcoin

Gold’s explosive climb to above $4,300 has captured global attention as it becomes the world’s second-largest reserve asset. This parabolic rise reflects a wave of capital rotation into tangible stores of value amid economic uncertainty. 

The rally has also reignited debates between traditional and digital gold advocates. Economist Peter Schiff criticized Bitcoin’s 32% decline since August, claiming it has failed as digital gold, while Binance founder CZ defended BTC’s 16-year history of consistent growth. 

He argued that short-term drawdowns are minor compared to Bitcoin’s overall performance, which started at $0.004 and climbed above $100K. Historically, both assets share a semi-correlated trend—when gold surges, BTC often consolidates before following suit.

Moreover, institutional investors view Bitcoin as a more liquid alternative with higher upside potential. Meanwhile, gold’s dominance could act as a sentiment anchor for risk assets in the short term. Yet, as macro conditions stabilize, capital could gradually flow back into BTC, supporting a renewed digital-asset recovery.

Summary

Bitcoin remains vulnerable to further downside toward $100K before a potential rebound unfolds. The demand zone remains the market’s defensive wall, backed by historical buying strength. Once the correction phase cools, Bitcoin could gradually reclaim $115K and extend toward $125K. Therefore, the current dip might be the final test before a decisive recovery phase begins.

Advertisement

Frequently Asked Questions (FAQs)

1. What factors contributed to Bitcoin’s recent price decline?

The Bitcoin price dropped due to short-term selling pressure and a bearish MACD crossover, signaling a market correction phase.

2. How is gold’s rise influencing the broader crypto market?

Gold’s parabolic rally has shifted some investor sentiment toward traditional assets, sparking comparisons with Bitcoin’s long-term role as digital gold.

3. What insights did Peter Schiff and CZ offer in the gold vs Bitcoin debate?

Schiff claimed Bitcoin failed as digital gold, while CZ countered, emphasizing BTC’s 16-year resilience and unmatched historical growth.
coingape google news coingape google news
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

BTC

Bitcoin

$109,638.6001 -1.46%

24 Hours volume

$62.25B

Market Cap

$2.19T

Max Supply

21M

Buy $BTC with BitGet
About Author
About Author
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.