Bitcoin price charts hint at potential gains of up to 180% over the next 12 months

Bitcoin (BTC) could experience a major rally based upon a gold chart pattern. Gains of up to 180 % are possible over the course of the next twelve months.

Takeaways from the conference:

• BTC has risen by nearly 40% against gold in comparison to March, after falling seven consecutive months.
• Bitcoin’s bottoms measured in US dollars have coincided historically with similar BTC/XAU recoverys.

BTC could reach $167.250 in a year

Bitcoin to Gold Ratio (BTC/XAU) is a bullish indicator, which measures BTC in relation to gold using US Dollars. This ratio has historically shown sharp rises and falls in tandem with the major Bitcoin cycles, which often preceded strong upward movements.

A BTC/XAU low in 2015 preceded a Bitcoin rally of roughly 250% within a single year.

In 2019 and 2022, similar reversals occurred before a gain of approximately 140% in each case. The pattern indicates that, excluding 2020’s 1460% liquidity-driven surge, BTC gains on average are around 180% per year after BTC/XAU bottoms.

BTC/XAU chart for the month. Source: TradingView

Since the lows of February, BTC/XAU has increased by about 40%. In the same time period, BTC/USD has increased by 32.65%.

“Bitcoin versus gold is about to close a second month in the green after 7 red candles in a row,” said Nik Bhatia founder of the macro-research company The Bitcoin Layer. “the bounce is in.”

Macro strategist Gert van Lagen spotted a “hidden bullish divergence” The pattern of the market’s bottoms in 2014, 2018 and 2020.

Source: X

Fidelity Investments has released its report for April. said Bitcoins have entered the market “an accumulation phase” While outperforming the gold.

If the BTC/USD or BTC/XAU lows of February are confirmed to be bottoms, then a 180% repetition of previous cycles would put the BTC target price at $167.250 by April 20,27.

Multiple analysts including Bernstein’s Gautam ChhuganiBTC is expected to hit $150,000 in 2026. This will be largely due to a possible capital shift from gold.

Matt Hougan said in April that Bitwise’s chief investment officer, Matt Hougan (chief investment officer), had announced the acquisition of Bitwise. Bitcoin can become bigger than the gold market’s $30 trillion capitalization.

The key trend line casts doubt on bullish outlook

BTC/XAU continues to be below its 100 month exponential moving (100-month EMA) line, a level previously associated with major bottoms of March 2020 or December 2022.

BTC/XAU chart for the month of February. TradingView

This support had been clearly lost before the breakdown in January. If you stay below this level, it could trap bulls or delay Bitcoin’s relative recoveries against gold.

BTC/XAU is also facing resistance in the near term from the rising wedge of the daily chart.

BTC/XAU Daily Chart TradingView

According to the wedge’s calculated movement, the bearish reversal set-up points towards a possible 20% fall in Bitcoin’s denominated gold value.

Related: Bitcoin eyes $75K after ‘most hawkish’ FOMC as oil hits highest since 2022

The historical pattern may be disrupted by macro-conditions, like rising US bonds yields and oil prices. Cointelegraph reportedBitcoin derivatives indicate traders remain cautious, as Fed interest rates are held steady and BTC prices consolidate.

The article has been produced according to Cointelegraph. Editorial Policy This is only intended to be used for informative purposes. The information provided does not represent investment advice. The risks associated with all trades and investments are high. We encourage readers to do their own independent research.