Bitcoin Leads, Gold Follows: Why the Next Big Move Could Be Now

(Kitco Commentary) - The three-river evening star candlestick pattern we discussed throughout the week completed yesterday with a $68 decline. However, we did not receive the confirmation needed to act on this bearish signal — and more importantly, gold has managed to hold above the 200-day moving average, which is precisely the level we identified as a potential floor.

We didn't fully believe that Tuesday's high marked the top, and we still don't. The pullback to lower prices has very likely already run its course, and the time to buy may be right now — or even better at any of the earlier entry points we outlined over the past few weeks.

For traders seeking minimal risk exposure, a prudent approach is to wait for gold to break back above $4,692 — the 0.382 Fibonacci retracement level — before entering from the long side.

Bitcoin and Solana have returned to full rally mode today. SOL surged approximately 7.5%, while BTC crossed above $80,000 for the first time in over 100 days and appears poised to reclaim price levels not seen in more than eight months.

What does this mean for gold and silver? Both assets have been advancing for the same fundamental reasons. The lower margin requirements, easier leverage, and 24-hour fast-paced nature of cryptocurrency markets allow Bitcoin to react far more quickly than the precious metals — which I believe will follow suit. Crypto is essentially leading the charge; gold and silver are right behind.