Bitcoin (BTC) traders could get cues from an apparent negative correlation that has developed between bitcoin and gold prices.
Gold picked up a strong bid at $1,196 on Nov. 13 and jumped to $1,300 on Jan. 4, possibly due to the sell-off in the US dollar. The greenback was offered against most currencies last two months of 2018 on growing speculation that the Federal Reserve (Fed) could decrease or pause interest rate hikes in 2019.
Bitcoin, however, did not benefit from that broad-based sell-off in the US dollar. Notably, the cryptocurrency revived the bear market with a convincing move below $6,000 on Nov. 14 – a day after gold found takers around $1,200 per Oz.