Bitcoin (BTC) could be on a strong rally that could temporarily dethrone gold as investors convert their capital into the largest cryptocurrency, according to economist Henrik Seberg.
His technical analysis suggests that the Bitcoin-to-gold ratio is poised to rise parabolically before hitting a major ceiling, a move that could keep gold bulls in short-term losses.
In an Oct. 27 X post, Seberg’s analysis noted that Bitcoin’s strength relative to gold is forming an extended Elliott Wave pattern, and is currently entering what appears to be the fifth and final wave of a multi-year cycle.
This pattern suggests that Bitcoin could significantly outperform gold in the coming weeks, pushing the BTC/gold ratio towards the 1.618 Fibonacci extension, a level historically associated with market exhilaration and depletion.
To this end, Bitcoin’s relative value to gold is expected to surge towards the upper end of a long-term upward channel marked around the 70-75 zone. This area coincides with a major Fibonacci extension and serves as Seberg’s predicted “BTC top” level.
Economists predict that once this level is reached, the ratio could reverse sharply and Bitcoin could enter a new bearish phase while gold regains the upper hand.
On the other hand, the RSI is still in a broad downtrend, indicating that any short-term gains could be the last leg before a major correction.
Similar divergences have signaled important turning points historically, such as Bitcoin’s peak in 2021 and mid-2024.
Short-term risks favor cryptocurrencies
Now, Seberg expects this move to play out in a short-term “risk-on” phase that favors cryptocurrencies, before the market returns to a “risk-off” environment and a sharp reversal allows gold to regain strength.
Indeed, this outlook comes as both asset classes have seen volatility in recent sessions. Notably, Bitcoin is trading below the $110,000 support, but buying pressure has increased amid optimism surrounding a possible US-China trade deal.
Meanwhile, after an impressive rally that saw it hit a new high of over $4,000 in 2025, the precious metal has experienced significant capital outflows and is trading below that level at around $3,925 at the time of writing, although some analysts are warning of a possible crash.
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