Bitcoin cannot get out of the negative news after another. We stated that the technical outlook was damaged with the incoming news triggering hard sales and Bitcoin started to be traded below significant averages.
The process initiated with manipulative news about Bitcoin under the leadership of Elon Musk caused investors to move away from Bitcoin.
Bitcoin, which did not receive a strong backlash from its strong support at $ 42,000, continues to show weakness, while a report by Jp Morgan stated that investors are moving away from Bitcoin.
In the charts shared by Yahoo Finance’s Sam Ro, investors’ interests in Bitcoin and gold were shown.
Accordingly, while there is an outflow of money from Bitcoin funds, it is seen that money inflows into gold funds have increased.
Similarly, while futures contracts for Bitcoin tend to decrease in the CME stock market, it is seen that there is a significant increase in contracts for gold.
This data is important because in the rally started by Bitcoin in March 2020, a good story was caught saying that “Bitcoin will take the pie share of gold” and it was seen that there was a flow of money from gold funds to Bitcoin.
With the recent declines in Bitcoin, there is an image that investors who think that the opportunities on this side are over, are returning to gold. For this chart to turn in favor of Bitcoin, BTC must quickly rise above the weekly MA 20 and the daily MA 50.
* Not Investment Advice.