BTC: A better opportunity to buy than 2017

BitcoinBTC) fell to a record low versus gold (XAU) in January, making it a better buying opportunity than what preceded the 2015–2017 bull market, analysts say.

Takeaways:

• BTC vs. gold has hit a new record-low, which is in sync with other major lows.

• Some analysts caution that the rotation of gold into BTC is not guaranteed.

The rotation of gold to Bitcoin could begin in February

After adjusting for global money supply on Saturday, Bitcoin’s value in comparison to gold reached its lowest ever level. data Bitwise Europe’s website showed.

This indicator will show when Bitcoin’s strength or weakness is abnormally high or low compared to gold. The indicator has moved to a zone that was previously seen around BTC’s bottoms (the -2 in the graph below).

This band was last seen at similar levels in 2015. It indicates that BTC is undervalued compared to gold. The price of BTC rose 11,800% to $20,000 within two years, from just $165. Analyst Michaël van de Poppe said Posting on Saturday:

“Today represents a better opportunity to be buying Bitcoin than 2017.”

Analysts have predicted that some money will be transferred from gold to Bitcoin in the coming year.

This includes Bitwise’s European Head of Research. André DragoschSwyftx Lead Analyst and. Pav Hundal. This latter stated that such rotations might begin as early as February or even March.

Capital Rotation “might not happen quickly”

Gold prices doubled in the last year while Bitcoin fell by 18%.

Benjamin Cowen, an analyst at the Bank of America Merrill Lynch, was not among those who agreed with Cowen that there is a shift from precious metals towards Bitcoin.

Then he said Bitcoin’s downtrend may last longer than many holders expectBTC is not a currency “likely going to keep bleeding against the stock market” Hopes for the future “massive rotation” It is not advisable to buy gold or silver in the near future.

Related: Gold is acting like the hedge Bitcoin promised to be

Citi stated that the silver price could continue to rise in the coming months, due to a stronger dollar and demand from China. RBC Capital Markets also said that silver could extend its gains in the next few months due to demand from China and a weaker US dollar. predicted Gold’s value will rise to $7,000 in 2026.

Cowen noted that Bitcoin will continue to grow even though precious metals remain stable. “probably not going to happen” quickly.

Bitcoin holders who hold the currency for a long time absorb January’s sell-off

Data from the blockchain shows that long-term Bitcoin holders have quietly rebuilt their positions, despite Bitcoin’s dramatic drop-off in January.

After the sell-off in January, Bitcoin Long-Term holders (LTH), or entities that have held BTC over 155 consecutive days, started to rebuild their supply.

During this time, LTH Spent Binary (a measure that indicates whether Bitcoin long-term holders sell or stay put) continued to fall.

Analysts have noted that in previous cycles, the recovery of LTH and the decline of LTH spent binary preceded durable BTC bottoms. Anil.

After the April 2025 bottoms, long-term holders began recovering first. BTC then followed about a week later with a strong rebound, gaining roughly 60%.

The trend shows that those who are more patient take advantage of the BTC price decline in January. This is often the type of reset which helps Bitcoin to build a strong base for future gains.