Analysis: The copper-to-gold ratio fell to its lowest level since November 2020 this month, and Bitcoin may see downward fluctuations

The copper-to-gold ratio, which represents the market price of copper per pound divided by the market price of gold per ounce, has fallen more than 8% this month to its lowest level since November 2020, according to data tracked by TradingView and MacroMicro. The indicator reflects investors' preference for risk- and growth-sensitive assets such as technology stocks and Bitcoin (relative to safe-haven assets such as gold and U.S. Treasuries). MacroMicro said in a chart explanation, "As the global economy expands, the copper-to-gold ratio rises and the stock market rises. When economic uncertainty increases, the demand for gold for hedging rises and the ratio falls." In short, if the decline in this indicator is used as a reference, Bitcoin may experience downward volatility. (CoinDesk)