BTC decline accelerates, XAU recoups some losses as US PPI rises: Bitcoin vs Gold Outlook

• $70,000 remains difficult for BTC to regain on Friday as Bitcoin sellers tighten their control.
• Above $3,900, Gold edges higher following three consecutive daily falls, although key technical indicators could constrain its recovery.
• 6.5% YoY headline producer inflation marks the highest annual reading since November 2022, with US PPI also showing a 0.3% rise in October.

Bitcoin (BTC) hovers near $69,000. Friday’s selling pressure mirrors subdued sentiment across the wider cryptocurrency market. Bulls are struggling to restore calm following a sharp correction in the Crypto King, driven largely by a shift away from risk after the resignation of Jensen Huang, Nvidia Co-founder and CEO.

Following a three-day retreat to lows near $3,852, Gold (XAU/USD) is trading just above $3,900. The metal is trimming its losses and may gather recovery momentum towards the crucial $4,000 mark.

0.3% October rise in US PPI

A 0.3% seasonally adjusted increase in October US producer inflation was reported by the Bureau of Labor Statistics (BLS) on Friday. Measured by the change in the Producer Price Index (PPI), the reading followed September’s final increase of 1.4%, revised from 1.3%.

At 6.5% in October, annual producer inflation accelerated from September’s 6.3% to its highest rate since November 2022. The result was nevertheless below the market forecast of 6.6%.

Excluding volatile food and energy prices, PPI increased by 0.3% month on month and 5% year on year. Both readings were in line with analysts’ forecasts.

Following the PPI release, Gold is maintaining its gradual advance, whereas Bitcoin is finding it difficult to build momentum above $69,000. A move back above $4,000 for Gold and a potential recovery beyond $70,000 for Bitcoin could improve both assets’ short-term recovery prospects.

Demand for digital assets remains markedly weak, however. On Friday, the Fear & Greed Index stands at 20, within Extreme Fear territory, compared with 28 in the Fear category a day earlier.

Investors appear to be stepping back and adjusting their portfolios before the Federal Reserve (Fed) meeting in December. Following October’s hold, market participants widely anticipate that the Fed will raise interest rates into the 4.00-4.25% range. That prospect could keep sentiment under pressure.

$69,232 Bitcoin: Technical floor remains elusive

At $69,232, Bitcoin remains in a bearish phase, trading substantially below every key Exponential Moving Average and the SuperTrend line. Overhead, the 50-day EMA stands at $78,245, the 100-day EMA at $77,208 and the 200-day EMA at $76,6417. This positioning points to continued downward pressure on the broader trend. The SuperTrend reading of $77,026 adds to the constraints on upside.

Sellers retain control, according to weak momentum signals. The Moving Average Convergence Divergence (MACD) is below zero, while the Relative Strength Index (RSI) is close to 26, within oversold territory.

The first resistance point is the 200-day EMA around $76,641. Above it sit the SuperTrend at $77,026 and the 100-day EMA at $77,208, followed by the higher resistance threshold of the 50-day EMA at $78,245. Only a daily close above this moving-average cluster would ease the prevailing bearish bias and allow a more constructive outlook.

No nearby support levels are mapped on the chart. Until fresh demand materialises, that leaves the price vulnerable to additional losses.

$4,000 in focus for Gold: Technical recovery faces resistance

At $3,905, Gold is attempting to recover as bulls seek to reassert control. The modest rebound has not removed the near-term bearish bias: prices remain below the 50-day EMA at $4,123, the 100-day EMA at $4,211 and the 200-day EMA at $4,246. Persistent overhead supply is also indicated by the SuperTrend line at $4,163. Momentum signals remain fragile, with the MACD under zero and the RSI close to 40. Together, they suggest weak downward pressure, but not yet oversold conditions.

The 50-day EMA at $4,123 provides the first resistance test, followed by a firmer obstacle at the SuperTrend level around $4,163. Beyond those levels, the 100-day EMA at $4,211 and the 200-day EMA at $4,246 limit the scope of a broader rebound. As long as XAU/USD stays firmly below this resistance cluster, the bearish bias is likely to endure.

(An AI tool assisted in preparing this story’s technical analysis. Learn more.)