Bitcoin Market Bottom Nears Amid Global Economic Uncertainty

A new analysis suggests that Bitcoin's price in relation to gold is nearing a market bottom.

According to Roni Suster, head of research at Brazil's largest cryptocurrency exchange Mercado Bitcoin, Bitcoin's decline in value versus gold could be a sign that a bottom is forming.

The analysis is linked to global economic uncertainty, with trade tariffs and rising tensions between major nations contributing to increased market volatility.

Gold prices have risen over 80% in the past year, reaching $5,280. Bitcoin's weakness against gold has accelerated amid this trend.

Notably, there have been outflows from Bitcoin exchange-traded funds (ETFs), with about $7.8 billion flowing out since November last year.

However, unlike short-term panic selling, large investors are using the decline as a buying opportunity, with investment firms Mubadala and Alwada expanding their investments in spot Bitcoin ETFs in mid-February.