Bitcoin’s market capitalization has soared 350,000% since its inception, outperforming its traditional safe-haven rival gold. New signals suggest Bitcoin could be on the verge of a sustained bull run, marking fresh momentum against the precious metal.
According to veteran market analyst Peter Brandt, the Bitcoin/gold ratio could rise by more than 400% by 2025, citing a classic technical pattern called the “inverse head and shoulders” (IH&S), in which the price forms three consecutive bottoms, with the middle bottom – called the head – being deeper than the other two bottoms, called the left and right shoulders. The pattern is considered complete when the price breaks above the neckline with increasing trading volume, which then rises to the maximum distance between the neckline and the deepest point of the head.
Applying this principle to the BTC/GLD ratio chart would bring the target to around 123, meaning 1 BTC could be equivalent to 123 ounces of gold by early 2025, marking a more than 400% increase from 24 ounces on September 22, 2024.
The growth of the Bitcoin ETF market also contributes to this prediction. The approval of these funds in January this year attracted inflows of more than $17.69 billion, with predictions that the Bitcoin ETF market could grow to $220 billion by 2027, based on the benchmark from gold ETFs.
Additionally, experts like Anthony Scaramucci also believe that Bitcoin is likely to surpass the market capitalization of gold in the next decade, thanks to advantages such as scarcity and portability (easily transferable or usable).
