Famed Analyst Willy Woo: Bitcoin Rises, Gold Falls – This Company is Wrong

Trader and on-chain analyst Willy Woo shared a “divergence chart,” that is, a chart that shows when the correlation turns negative in the middle of bitcoin (BTC) and gold (XAU) price momentum. He also named the trigger of this situation.

Bitcoin and Gold “Decoupling” Has Finally Happened

According to Woos Chart, August 11, 2020 is the day when the correlation between Bitcoin (BTC) and gold (XAU) prices are negative. Since then, the price of the cryptocurrency has increased fivefold. Gold fell 11 percent.


Woo that this date coincides with the first phase of the ongoing institutional BTC frenzy recalled. MicroStrategy led the frenzy. Equities also showed a similar performance to Bitcoin (BTC) in the period under review.

Woo, a longtime Bitcoin (BTC) proponent, explained this with institutional interest in buying Bitcoin (BTC) as an asset instead of gold (XAU).

Some of its commentators questioned the existence of such a dilemma, stressing that the two assets were too different to compare their costs as tools of “corporate treasury”.

What’s wrong with Tesla?

Woo was also asked why Tesla stock hasn’t risen despite large BTC purchases. Woo said Tesla’s purchase of Bitcoin (BTC) is too small to affect TSLA’s price action:

“TSLA’s market cap is $712 billion, its daily volatility is much larger than the 2 billion Dollars of BTC they hold.”

Tesla’s purchase of bitcoin (BTC) is viewed by Financial Times pundits as more of a campaign than an investment move. According to the Financial Times, Tesla’s purchase of Bitcoin (BTC) is a far cry from a strategy being demonstrated by MicroStrategy.

Meanwhile, the last day’s BTC price correction caused double-digit declines in MSTR shares. On February 22nd and 23rd, BTC fell below $45,000. At the time of writing it is looking at around $51,000 in lawsuit.

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