The copper-gold ratio is widely followed as a macro indicator of economic momentum and investors’ risk appetite. It has historically shown a notable relationship with bitcoin. according to SuperBitcoinBro.
Copper is strongly tied to industrial demand and tends to perform well during periods of economic expansion. Gold, on the other hand, is a defensive asset that typically outperforms during periods of greater uncertainty and slower growth.
When the ratio between the two increases, it indicates a risk environment, while a decreasing ratio indicates risk aversion.
Major spikes in the ratio, seen in 2013, 2017, and 2021, have coincided with peak cycles in bitcoin prices. These periods reflected strong global growth expectations and high speculative risk taking across assets.
However, the most important thing for bitcoin has been the behavior of the ratio after prolonged declines. A reversal in the ratio has often preceded major bitcoin rallies, particularly when they align with bitcoin halving cycles.
Bitcoin halvings, which reduce payout to miners by 50%, occur approximately every four years and reduce supply. They have historically acted as a catalyst for longer-term bull markets.
During the fourth bitcoin halving, in April 2024, the copper-gold ratio continued to fall. Since then, that dynamic has changed. The ratio now sits near 0.00136 after bottoming in October around 0.00116.
At the same time, copper prices are surpassing $6 per pound at all-time highs, while gold is trading near $4,455 per ounce, also near its record. In the last three months, copper has gained 18% and gold 14%.
If copper’s strength reflects improving growth expectations rather than pure supply constraints, the resulting risk in signal could support a bitcoin rally in 2026.
