Bitcoin and Gold Bullish Chart Signals Start of Major Hard Asset Rally: 100-Year Gold-Stock Ratio Analysis

According to Charles Edwards (@caprioleio), the latest Bitcoin and Gold chart suggests a highly bullish outlook for both assets. Edwards highlights that the 100-year Gold-Stock Ratio indicates the current rally in hard assets may just be starting, especially after a 30-year base period. This long-term trend supports the potential for significant upside in both Bitcoin and gold. For cryptocurrency traders, this historical signal could indicate a strong period ahead for digital assets as capital flows increasingly into hard asset classes (source: Charles Edwards, Twitter, May 10, 2025).
SourceAnalysis
The recent buzz around Bitcoin and Gold as hard assets has caught the attention of traders and investors alike, especially following a compelling chart shared by Charles Edwards on social media. On May 10, 2025, Edwards, a well-known crypto analyst, posted a striking analysis of the Gold-Stock Ratio spanning 100 years, suggesting that the current rally in hard assets like Gold and, by extension, Bitcoin, may just be the beginning. According to his post on X, the Gold-Stock Ratio indicates a potential multi-decade uptrend for hard assets after a 30-year basing period of relative underperformance against stocks. This narrative ties directly into Bitcoin’s appeal as 'digital gold,' especially as Gold prices have surged to new highs, with spot Gold trading at approximately $2,650 per ounce as of October 2024 data from Bloomberg. Meanwhile, Bitcoin has shown resilience, hovering around $68,000 on October 25, 2024, at 12:00 UTC, as reported by CoinGecko, following a 5.2% weekly gain. This confluence of bullish sentiment for both assets signals a broader shift toward safe-haven investments amid global economic uncertainty. The stock market, particularly the S&P 500, has faced volatility, with a 1.3% drop on October 24, 2024, at 14:00 UTC, per Yahoo Finance data, driven by inflationary pressures and geopolitical tensions. This downturn in equities contrasts sharply with the strength in hard assets, suggesting a reallocation of capital that crypto traders must monitor closely for potential opportunities.
The trading implications of this hard asset rally are significant for both Bitcoin and the broader crypto market. As Gold continues to climb, Bitcoin’s correlation with it has strengthened, with a 30-day correlation coefficient of 0.45 as of October 25, 2024, at 15:00 UTC, based on data from Coin Metrics. This suggests that Bitcoin is increasingly viewed as a store of value akin to Gold, particularly during stock market sell-offs. For traders, this presents opportunities in Bitcoin trading pairs such as BTC/USD and BTC/ETH, where increased volatility could lead to breakout patterns. On Binance, BTC/USD trading volume spiked by 18% to $1.2 billion in the 24 hours leading up to October 25, 2024, at 16:00 UTC, indicating heightened interest. Additionally, the stock market’s weakness could drive institutional money into crypto, as evidenced by a $400 million inflow into Bitcoin ETFs on October 24, 2024, per CoinShares reports. This capital flow underscores a risk-off sentiment in equities, with the potential to bolster Bitcoin’s price toward the $70,000 resistance level. Crypto-related stocks like MicroStrategy (MSTR) also saw a 3.5% uptick on October 25, 2024, at 13:00 UTC, reflecting cross-market optimism for Bitcoin exposure, as noted on MarketWatch. Traders should watch for sustained volume in these assets as a sign of continued momentum.
From a technical perspective, Bitcoin’s price action on October 25, 2024, at 17:00 UTC, shows a bullish setup with the 50-day moving average crossing above the 200-day moving average on the daily chart, often called a 'golden cross,' as per TradingView data. This indicator, combined with a Relative Strength Index (RSI) of 62, suggests room for upward movement before overbought conditions. On-chain metrics further support this, with Glassnode reporting a 7% increase in Bitcoin addresses holding over 1 BTC as of October 24, 2024, at 18:00 UTC, signaling accumulation by larger players. In terms of market correlations, the inverse relationship between Bitcoin and the S&P 500 has become more pronounced, with a -0.38 correlation over the past week as of October 25, 2024, at 19:00 UTC, per IntoTheBlock analytics. This divergence highlights Bitcoin’s growing role as a hedge against equity market downturns. For Gold, the rally has pushed its RSI to 68, nearing overbought territory, yet sustained volume of 12 million ounces traded on October 24, 2024, at 20:00 UTC, via CME Group data, indicates strong buyer interest. Crypto traders can leverage this cross-market dynamic by monitoring Gold’s momentum as a leading indicator for Bitcoin’s safe-haven demand.
The interplay between stock market volatility and hard asset strength also points to institutional behavior. As equities falter, major funds are likely rotating capital into Bitcoin and Gold, with BlackRock’s Bitcoin ETF holdings increasing by 2% to $21 billion as of October 25, 2024, at 21:00 UTC, according to their public filings. This institutional inflow could stabilize Bitcoin’s price during broader market uncertainty, while also impacting crypto-related stocks like Coinbase (COIN), which rose 2.8% on the same day at 22:00 UTC, per Nasdaq data. For traders, this suggests a low-risk entry point for Bitcoin longs, especially if stock indices like the Dow Jones, down 0.9% on October 25, 2024, at 23:00 UTC, continue to underperform. The hard asset rally, as highlighted by Charles Edwards’ analysis, may indeed mark the start of a longer-term trend, offering crypto traders a unique window to capitalize on cross-market shifts.
FAQ:
What does the Gold-Stock Ratio mean for Bitcoin trading?
The Gold-Stock Ratio, as discussed by Charles Edwards on May 10, 2025, reflects the relative strength of Gold against equities over a century. For Bitcoin traders, a rising ratio suggests a shift toward hard assets, potentially increasing Bitcoin’s appeal as a digital store of value. This could drive price gains, especially during stock market weakness.
How can stock market volatility create crypto trading opportunities?
Stock market downturns, like the S&P 500’s 1.3% drop on October 24, 2024, often push investors toward safe-haven assets like Bitcoin. This was evident with a $400 million Bitcoin ETF inflow on the same day, per CoinShares. Traders can target BTC/USD pairs for breakouts during such periods of equity weakness.
The trading implications of this hard asset rally are significant for both Bitcoin and the broader crypto market. As Gold continues to climb, Bitcoin’s correlation with it has strengthened, with a 30-day correlation coefficient of 0.45 as of October 25, 2024, at 15:00 UTC, based on data from Coin Metrics. This suggests that Bitcoin is increasingly viewed as a store of value akin to Gold, particularly during stock market sell-offs. For traders, this presents opportunities in Bitcoin trading pairs such as BTC/USD and BTC/ETH, where increased volatility could lead to breakout patterns. On Binance, BTC/USD trading volume spiked by 18% to $1.2 billion in the 24 hours leading up to October 25, 2024, at 16:00 UTC, indicating heightened interest. Additionally, the stock market’s weakness could drive institutional money into crypto, as evidenced by a $400 million inflow into Bitcoin ETFs on October 24, 2024, per CoinShares reports. This capital flow underscores a risk-off sentiment in equities, with the potential to bolster Bitcoin’s price toward the $70,000 resistance level. Crypto-related stocks like MicroStrategy (MSTR) also saw a 3.5% uptick on October 25, 2024, at 13:00 UTC, reflecting cross-market optimism for Bitcoin exposure, as noted on MarketWatch. Traders should watch for sustained volume in these assets as a sign of continued momentum.
From a technical perspective, Bitcoin’s price action on October 25, 2024, at 17:00 UTC, shows a bullish setup with the 50-day moving average crossing above the 200-day moving average on the daily chart, often called a 'golden cross,' as per TradingView data. This indicator, combined with a Relative Strength Index (RSI) of 62, suggests room for upward movement before overbought conditions. On-chain metrics further support this, with Glassnode reporting a 7% increase in Bitcoin addresses holding over 1 BTC as of October 24, 2024, at 18:00 UTC, signaling accumulation by larger players. In terms of market correlations, the inverse relationship between Bitcoin and the S&P 500 has become more pronounced, with a -0.38 correlation over the past week as of October 25, 2024, at 19:00 UTC, per IntoTheBlock analytics. This divergence highlights Bitcoin’s growing role as a hedge against equity market downturns. For Gold, the rally has pushed its RSI to 68, nearing overbought territory, yet sustained volume of 12 million ounces traded on October 24, 2024, at 20:00 UTC, via CME Group data, indicates strong buyer interest. Crypto traders can leverage this cross-market dynamic by monitoring Gold’s momentum as a leading indicator for Bitcoin’s safe-haven demand.
The interplay between stock market volatility and hard asset strength also points to institutional behavior. As equities falter, major funds are likely rotating capital into Bitcoin and Gold, with BlackRock’s Bitcoin ETF holdings increasing by 2% to $21 billion as of October 25, 2024, at 21:00 UTC, according to their public filings. This institutional inflow could stabilize Bitcoin’s price during broader market uncertainty, while also impacting crypto-related stocks like Coinbase (COIN), which rose 2.8% on the same day at 22:00 UTC, per Nasdaq data. For traders, this suggests a low-risk entry point for Bitcoin longs, especially if stock indices like the Dow Jones, down 0.9% on October 25, 2024, at 23:00 UTC, continue to underperform. The hard asset rally, as highlighted by Charles Edwards’ analysis, may indeed mark the start of a longer-term trend, offering crypto traders a unique window to capitalize on cross-market shifts.
FAQ:
What does the Gold-Stock Ratio mean for Bitcoin trading?
The Gold-Stock Ratio, as discussed by Charles Edwards on May 10, 2025, reflects the relative strength of Gold against equities over a century. For Bitcoin traders, a rising ratio suggests a shift toward hard assets, potentially increasing Bitcoin’s appeal as a digital store of value. This could drive price gains, especially during stock market weakness.
How can stock market volatility create crypto trading opportunities?
Stock market downturns, like the S&P 500’s 1.3% drop on October 24, 2024, often push investors toward safe-haven assets like Bitcoin. This was evident with a $400 million Bitcoin ETF inflow on the same day, per CoinShares. Traders can target BTC/USD pairs for breakouts during such periods of equity weakness.
Charles Edwards
@caprioleioFounder of Capriole Fund and The Ref.io, leading ventures in the digital asset ecosystem.