Bitcoin’s steep decline over the past week has caught global market attention. According to new data from Santiment and analysis by Bloomberg Intelligence’s Mike McGlone, the world’s largest cryptocurrency may be entering one of its most critical inflection points in months.
Santiment reports that Bitcoin has dropped roughly 12% in the past week, dramatically underperforming both traditional assets, the S&P 500, down just 1.6%, and gold, which slipped a marginal 0.3%.
This divergence highlights that while global markets are experiencing moderate volatility, crypto has been disproportionately hit by liquidations and declining sentiment. Analysts suggest this kind of extreme deviation often marks a “capitulation phase”, a zone of heavy selling that tends to precede market stabilization or a relief rally.
Adding to the macro perspective, Bloomberg Intelligence’s Mike McGlone emphasized that Bitcoin’s performance relative to gold, measured by the Bitcoin-to-Gold ratio, is nearing a crucial long-term support level around 25x.
This ratio, representing the ounces of gold equal to one Bitcoin, has historically served as a key risk indicator across asset classes. McGlone explained that the ratio, which had surged during 2021’s bull cycle, has since flat-lined and now risks further decline unless Bitcoin rebounds soon. The cross recently bounced from the 25x level, mirroring a move in the U.S. 10-year Treasury yield, which climbed back above 4%.
Bitcoin vs. Gold: The Cross That Might Matter Most Is Falling – The ounces of gold equal to one Bitcoin, a key indicator for risk assets, had risen through 2021 but flat-lined for nearly five years and now looks increasingly likely to continue 2025's descent. The Bitcoin/gold… pic.twitter.com/a110tyNSMp
— Mike McGlone (@mikemcglone11) November 4, 2025
McGlone cautions that if this support fails, the crypto market could continue sliding deeper into a prolonged correction heading into 2026. However, if Bitcoin can hold above the current floor, analysts see room for a macro relief rally, particularly as funding rates turn neutral and short positions appear overstretched.
