Bitcoin (CRYPTO: BTC) is down 2% compared to gold sliding 4% after the Federal Reserve delivered hawkish signals, an unusual reversal as Bitcoin typically underperforms the precious metal during risk-off moves.

The Unusual Outperformance

Positioning may explain the divergence as gold surged 90% over the past year and hit record highs in February before the Middle East conflict started. 

That left it overbought and vulnerable. Bitcoin crashed 50% from October highs, leaving it oversold and ready to bounce.

Since the Iran war began, Bitcoin has been one of the strongest performing assets outside energy. Meanwhile gold sits 17% below its January peak, approaching bear-market territory.

The… Read more on Benzinga