Will Bitcoin Follow Gold in Hitting ATH as Forex Recovers

Generally, all economic markets are performing well ahead of the historic negative market sentiments. Markets are in recovery mode, Gold has hit an all-time high, and Bitcoin is eyeing the $60K mark, maintaining its support level at $57,000.

Bitcoin markets spike ahead of the weekend

Bitcoin has been on a recovery strike throughout the week. According to data from CoinGecko, Bitcoin (BTC) is worth $57,683, which is up 1.2% in the last 24 hours and  2.3% in the last 7 days.

Bitcoin gained support around $56,000 on Wednesday, boosted by a better market sentiment for risk assets. This comeback comes despite slight outflows from US Bitcoin Spot Exchange Traded Funds (ETFs) on Wednesday. 

On-chain data indicates that Bitcoin’s price will grow when its exchange reserves decrease, and the long-to-short ratio trades over one.

The gold market spiked during Thursday’s trading session after the ECB cut interest rates. It appears highly aggressive and dovish at this time, making gold a much more attractive option for traders to hold.

Gold has maintained its positive outlook despite the small drop in the Greenback, trading at a new record high of roughly $2,550. The US data showed annual producer inflation fell to 1.7% in August from 2.1% in July.

Gold supporter and Bitcoin critic Peter Schiff has weighed in on today’s market spike while attacking mainstream media coverage. He argues, “If Bitcoin made a new record high today, @CNBC would cover the move non-stop. Yet when #gold makes a new high, it’s not even a topic worthy of discussion. But they keep talking about next week’s Fed rate cut without pointing out that gold’s record high indicates it’s a mistake”

Gold and Silver spikeGold and Silver spike
Gold and Silver spike

On the other hand, the silver market spiked in the early part of the US session after the ECB unanimously reduced rates. Silver is attempting to break out to the upside and reach the $30 mark. Short-term pullbacks at this stage could keep buyers near the $28.50 level and maybe above it at the 50-day EMA. 

On Thursday, the British pound rose slightly versus the US dollar in forex markets. The GBP/USD is trading at 1.3078 after reaching a daily low of 1.3031.

However, during Thursday’s North American session, the USD/JPY pair fell drastically to roughly 142.00. The asset tanked as the US Dollar (USD) faced selling pressure.

The US Dollar Index (DXY), which measures the value of the US dollar against six major currencies, has corrected to around 101.60.

Also Read: Bitcoin Reclaims $58K as On-Chain Signals Bullish Momentum Toward $64K

Source: https://www.cryptonewsz.com/forex-markets-gold-hit-ath-will-bitcoin-follow/