Bitcoin broke above a six-day downtrend last week with a 1.7% increase, reigniting hopes for a move above the $65,000 psychological level. The Federal Reserve is set to inject $17 billion in liquidity starting next week, which could support risk assets including Bitcoin. However, this positive momentum is tempered by a notable rotation of investors toward gold, with the BTC/XAU ratio declining 7.22% this month and stablecoins seeing withdrawals of over $5 billion in Q3. In total, more than $10 billion has been withdrawn from stablecoins over the past quarters, suggesting Bitcoin may struggle to break above the $70,000 resistance level as long as flows continue to divert toward gold.
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