Bitcoin Rallies Alongside Gold as Investors Rotate Out of US Assets

Gold (XAU) and Bitcoin (BTC) are both rallying sharply as investors increasingly seek alternatives to traditional U.S. assets.

On April 21, gold surged to a new all-time high above $3,400 per ounce, while Bitcoin broke above $87,000, reclaiming levels not seen since early March.

The dual move comes as the U.S. dollar drops to its lowest point since late 2023, reflecting growing concerns about political interference in monetary policy and rising geopolitical uncertainty.

President Donald Trump’s renewed criticism of the Federal Reserve and reports that he may consider replacing Fed Chair Jerome Powell have fueled volatility across financial markets.

Adding to investor anxiety are Trump’s revived tariff threats, which are raising fears of a renewed global trade conflict. These developments are prompting capital outflows from U.S. equities and bonds.

Bitcoin Needs to Break $91K to Confirm Strong Bull Trend

Bitcoin’s price rose to around $87,375, with technical indicators turning more constructive. The daily chart’s Relative Strength Index (RSI) has moved above 57, suggesting building momentum without signaling overbought conditions.

Meanwhile, on-chain data from CryptoQuant shows:

• New investors (holding BTC for less than 1 month) are now back in profit with an average +3.7% gain, indicating renewed confidence.

• Short-Term Holders (STH) remain in loss, with an average position at -5.1% and a realized price near $91,000 — a key resistance zone that continues to act as a psychological ceiling.

“Breaking above $91K would bring short-term holders back to profit, potentially reducing sell pressure,”

CryptoQuant analysts noted.

Falling Wedge Breakout Points to $103K BTC Price Target

Bitcoin has entered the breakout stage of what appears to be a falling wedge pattern that had been capping the cryptocurrency’s upside attempts since January.

A falling wedge pattern develops when the price trades lower inside a range defined by two descending, converging trendlines meeting. It resolves when the price breaks above the upper trendline and rises to a level equal to the maximum wedge’s height.

Applying the same rule on Bitcoin’s daily chart shows it breaking out of the wedge pattern, with the upside target around $103,000. In other words, the top cryptocurrency will likely rally by over 18.50% by May.