Bitcoin today: BTC drops to $91,000 while gold and silver soar

Source: PortaldoBitcoin Original Title: Bitcoin today: BTC falls to $91,000 while gold and silver soar Original Link: Bitcoin heads into Friday (5) down 2.1%, dropping to the $91,351 level after spending two consecutive days in the green, near $93,000. In Brazilian reais, the cryptocurrency is trading at R$485,100.

On the other hand, gold and silver continue to outperform Bitcoin on an annual basis, with traders betting on further uncertainty ahead of the Federal Reserve’s interest rate decision on December 10.

Silver and gold have posted impressive returns of 86% and 60%, respectively. Bitcoin, meanwhile, has entered negative territory, falling 1.2%.

A combination of fears—currency depreciation, macroeconomic uncertainty, and mixed signals from the central bank—is helping to drive precious metals higher, according to analysts.

Investors are positioning themselves for a possible “policy mistake” by the Fed, a scenario where the central bank starts cutting rates while inflation stubbornly remains above the 2% target.

This specific concern revolves around the risk of persistent inflation, as key indicators like core PCE—a measure of changes in the prices of goods and services—are trending back toward 3% per year, especially in services and housing.

The defensive rotation into tangible assets has created a clear divergence on three fronts.

While metals are soaring, traditional risk-on stocks have also risen for their own reasons. The Nasdaq and S&P 500 have gained 21% and 16% this year, respectively.

“Stocks have risen in a very conventional way—earnings growth, share buybacks, and an AI investment narrative.”

Bitcoin in recovery

Bitcoin, on the other hand, is still recovering from the October liquidation shock and the subsequent unwinding of leverage, which ended its sustained upward trend following the launch of ETFs.

The result is that the S&P is experiencing a ‘late-cycle melt-up’ (late cycle rally), while Bitcoin is going through a ‘mid-cycle repair’ phase.

On-chain data also paints a more nuanced picture. The total supply in loss has increased, indicating capitulation among short-term holders—a classic sign of a mid-cycle reset, not a bear market.

Although Bitcoin has dropped more than 26% from its all-time high of $126,080, it has stabilized around the “real market average,” which is the average cost of non-dormant coins, excluding those held by miners.

The real market average serves as the dividing line between a slightly bearish phase and deeper bear territory, according to general market theory.

Despite its current weak performance, analysts expect that Bitcoin’s divergence from metals and US stocks will be temporary, predicting that this dynamic will eventually follow global liquidity and equity markets upward once its order books recover.

Bitcoin’s high sensitivity to macroeconomic shocks is likely to continue unless it regains the 0.85 quantile—around $106,200.

Translated and edited with authorization from a specialized cryptocurrency source.