Gold vs Bitcoin: BTC Tests $60K as Ratio Signals More Risk

Gold (XAU) and Bitcoin (BTC) have dropped significantly in June. The gold price has dropped by over 7%, but the Bitcoin has dropped over 16% in June due to the pressure from the higher interest rates expectations and geopolitical risks. The relative weakness in Bitcoin is further observed in the Bitcoin to gold ratio which is dropping to the support zones. This article examines the bearish setup in Bitcoin, the key support zones and the Bitcoin-to-gold ratio to understand the next major move.

Bitcoin Price Analysis: Key Support Comes Into Focus

Bitcoin price dropped to the primary support of $60,000 after the escalation of the Middle East conflict. This indicates that financial markets are shedding risk assets.

This drop aligns with my expectations from the previous update that showed the formation of multiple bear flag patterns.

The first bear flag pattern was broken in January 2026 which triggered a drop towards $60,000. The second bear flag pattern broke in June 2026, and now the prices are in a bearish mode. The price has already hit the red highlighted region in the chart below. There are still no signs that Bitcoin prices may rebound.

The weekly close was also in the red region. This closure indicates that there is a possibility of further decline towards the $50,000 area.

The importance of the $60,000 level is evident in the daily chart below. The chart shows the formation of an ascending broadening wedge pattern. This pattern emerged from December 2022 towards the record highs.

This correction in Bitcoin prices emerged after the price formed a rounding top pattern around $125,000. The price began to drop by forming multiple bearish price action patterns. Now, the price is consolidating at $60,000. The ascending broadening wedge pattern presents this level as strong support.

If Bitcoin prices drop towards $50,000 and then close below $50,000, it will likely open the door for a further drop towards $35,000. The $35,000 level is considered a buying pivot for long term investors.

But if prices consolidate around this region and rebound higher to close above $75,000, it will likely form a bottom and signal further upside towards $100,000.

Bitcoin-to-Gold Ratio Shows Bitcoin’s Relative Weakness

The Bitcoin-to-gold ratio shows the strong support level as Bitcoin prices consolidate around the long-term support of $60,000. The ascending channel pattern highlights this support. This pattern has been in place since May 2013 on the log chart.

The ratio must break above 40 to mark the new record highs for Bitcoin as the gold price has already marked a record high at $5,600.

This ratio drops in June, despite the weakness in gold prices, which broke the $4,500 level. This indicates that the pressure on Bitcoin is stronger than the gold market.

Bitcoin-to-Gold Ratio Breakdown Signals More Downside Risk

The breakdown of the ascending triangle pattern shows the same bearish pressure in Bitcoin as seen in the chart below. The triangle pattern broke in September 2025.

After this breakout, Bitcoin prices continued to drop lower as the ratio hit the 13 level. The recent correction in June indicates that if the Bitcoin-to-Gold ratio breaks the 13 level, it will likely go towards the next support level of 9. This drop will likely offer a stronger correction in Bitcoin towards $35,000.

But if the Bitcoin-to-gold ratio bottoms at 13 and then rebounds, it will likely signal a bottom in Bitcoin around the $50,000 to $60,000.

Gold vs Bitcoin Outlook: Ratio Support May Define the Next Bottom

The weekly timeframe shows the similar price action. The chart below shows that the level of 13 is important due to the formation of an inverted head and shoulders.  This pattern formed from June 2022 to June 2023.

The rebound from the 13 level in March 2026 came from extreme oversold conditions. These conditions were not seen in the entire history of Bitcoin.

But the rebound from the 13 to 18 level in the ratio has already neutralized this oversold condition. This indicates that the ratio may drop further to form the next bottom.

This drop will likely be the final one and bring more buyers into the market to push prices to record levels.

Bottom Line

Gold and Bitcoin both remain under pressure in June but Bitcoin is showing deeper relative weakness. The Bitcoin to gold ratio also confirms this relative weakness as the ratio is dropping despite the pressure on both assets. This indicates that investors treat Bitcoin as a risk asset during the current geopolitical and interest rate uncertainties.

The price is now consolidating around the $60,000 level and a break below this level will open the door for a further drop to $50,000. A break below 50,000 will indicate further downside to the long-term pivotal support of $35,000. This drop will develop if the Bitcoin to gold ratio breaks the 13 level. But the market may form a bottom if Bitcoin holds the $50,000 to $60,000 range and the ratio rebounds from support. The price must close above $75,000 to confirm the bottom.

Read more: Bitcoin Drops Below $70,000 as Gold Ratio Rises