According to Bloomberg’s top strategist Mike McGlone, Bitcoin could lose half of its value against gold. He warns that the Bitcoin/gold ratio, which is currently around 30 ounces of precious metal for 1 BTC, could fall back to the mid-teens once market volatility returns.

Such a drop would erase years of relative gains and leave the digital gold comparison looking far weaker than the story traders have been telling since institutions first entered the market.

Bitcoin struggles to hold the line as the warning lands. The coin tried to break past $124,000 before U.S. markets opened, but in less than two hours, the rally failed and the price dropped to under $121,000.

This partly happened as a mysterious ancient Bitcoin whale opened a $600 million short position on the main cryptocurrency via Hyperliquid’s derivatives market.

No Bitcoin, no party

Nevertheless, Bitcoin dominance has climbed to its highest level in almost two months, which signals that capital inside crypto is rotating back to the main coin. However, gold could soon regain the upper hand.

Other assets added to market noise, not direction. Gold fell 1% to $4,035; silver broke above $50 for the first time before falling back down to $48.55, while altcoins extended losses. Ethereum fell to near $4,300, and BNB and Dogecoin lost about 4%.

In this context, the spotlight is firmly on Bitcoin. If McGlone’s chart is right, a new all-time high may not be the biggest story ahead, as Bitcoin may lose half its value compared to the metal it was supposed to leave behind.