Bitcoin Price Breakthrough: Gold Link Strengthens as BTC Becomes Less Sensitive to Yields

Cathie Wood of ARK Invest sees a promising development in Bitcoin's price behavior, which is increasingly mirroring that of gold. According to Glassnode data, Bitcoin's 90-day correlation with gold has climbed to around 0.57, its highest since 2020, while its correlation with the Nasdaq-100 has fallen to 0.22 from 0.57.

This shift suggests that Bitcoin is behaving less like a traditional risk asset and more like a hard asset, such as gold. Wood highlighted this trend in an interview, stating that it 'looks like a turn is in' and 'a little bit of a breakthrough here.'

ARK Invest remains firmly bullish on Bitcoin's long-term prospects due to its potential as a new global monetary system and technology revolution. Wood framed Bitcoin and gold as potential insurance assets in a financial system facing technological disruption and counterparty risks.

However, not all market commentators are convinced that this trend will continue. Market commentator MandoCT noted that the $83,000 sell wall remains an important obstacle for Bitcoin's price to overcome.