2025-12-27 02:25:03

After so many years of trading cryptocurrencies, I rarely pay as much attention to gold price movements as I do now. A major event has occurred— the Dow-to-Gold ratio has broken through a long-term trend line that has held for 45 years. In 130 years of history, this has only happened four times, each accompanied by significant market shifts.

To understand the Dow-to-Gold ratio: it measures how many ounces of gold are needed to buy one share of each of the 30 components of the Dow Jones Industrial Average. This ratio provides an intuitive reflection of whether stocks or gold are more valuable.

Looking back at historical turning points, what did the previous three instances do?

From 1930 to 1933, the Dow-to-Gold ratio plummeted by 90%.
Between 1968 and 1980, it fell even more sharply—by 95%.
From 2002 to 2011, it also declined significantly—by 87%.

On average, over the 9.3 years following these three turning points, the Dow-to-Gold ratio decreased by 90.5%. And this time? It has broken a 45-year trend, a cycle much longer than the previous ones (the previous three averaged only 18.3 years), indicating that this market momentum could be stronger than any in history.

For us in crypto, macro shifts often serve as signals. Gold has traditionally been viewed as a safe-haven asset and hard currency. When it begins to make a desperate comeback relative to stocks, market risk appetite is declining, and capital is seeking new hedging tools. As a digital asset, crypto might seize unexpected opportunities against this broader backdrop.

This doesn’t mean that when gold rises, crypto must rise as well, but it reflects a change in the overall environment. Historical turning points often signal the disintegration of old orders and the brewing of new opportunities. This time, we need to watch closely.

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GasOptimizer

· 6h ago

Damn, a breakdown in 45 years, this time really different History repeats, but this cycle is longer and more energetic The status of gold as a hard currency is shaking, funds are looking for new outlets, crypto has a chance But don’t celebrate too early, the first three times were all bloodbaths Feels like the calm before the storm, time to get ready The Dow Jones Gold Ratio—I need to study this indicator more, I feel there’s something there The key question is, is this really the opportunity for crypto to take over? Wait, if that’s the case, do stablecoins still matter? Historical turning point… right, every time it’s the night before the old order collapses I’m a bit confused now, stocks or crypto, which to choose? Impressive, we’re about to start macro analysis mode again It’s basically money looking for a new place to hide, crypto might indeed be the next stop This data is incredible, what would a 90% drop look like now? Feels like a gold rebound is a signal of a bear market

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MysteriousZhang

· 10h ago

Only broken once in 45 years? This time might really be different --- Wow, a 90% drop, this data makes my scalp tingle --- What does a counterattack in gold mean? Funds are looking for a new outlet, right --- Wait, the historical turning points are so fierce, we need to be careful --- Can crypto withstand this wave of selling? It's a bit uncertain --- Macro signals should indeed be taken seriously; we can't just watch the charts --- The first three times all dropped more than ninety points, and this cycle is even longer... a bit terrifying --- The status of gold as a hard currency is shaking, where funds will flow to is key --- The old order is collapsing, new opportunities are brewing, it sounds very tense --- Breaking the 45-year trend is not simple, we should indeed pay close attention

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nft_widow

· 12-27 02:46

Wow, has the 45-year trend line been broken? This time really is different History repeats itself, but this cycle is frighteningly long, it feels like something big is coming Gold is making a comeback, stocks are going to cool off? I need to rethink my positions A 90% decline... just thinking about it makes me uncomfortable, will this be even worse? Funds are seeking safe havens, and we're right on the way, haha Once the trend line is broken, it's broken. There's nothing much to say, whether to get in or out depends on you This is a macro signal, missing this wave would be a bit of a pity

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DegenGambler

· 12-27 02:43

Wait, is this cycle much longer than the previous ones? Could the momentum really explode?

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UnluckyMiner

· 12-27 02:37

The 45-year trend line has been broken, this time it's really different --- Gold is making a desperate comeback, looks like it's time to stock up on coins --- Wait, is this logic a bit too optimistic? --- Feels like history is repeating itself, hold tight to your BTC --- With macro data like this, no wonder I've been feeling anxious lately --- 45 years, indeed this time I need to take a serious look --- So is this a signal to bottom out now, or should we wait and see? --- Gold and stocks are starting to interchange, can crypto turn around? --- This analysis is quite in-depth, saved it for slow study --- A 90% drop sounds exaggerated, is it really? --- Funds need to find a new outlet, so let's wait and pick up bargains --- Breaking the 45-year line, is the next 130-year cycle coming?

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SelfStaking

· 12-27 02:37

The 45-year trend line has been broken, and this time it feels really different. Wait, is this cycle much longer than before? Feeling a bit cautious. Golden rebound and crypto opportunities? Depends on how the market plays out. Are all historical turning points this fierce... Can't really hold on. Funds are looking for hedging tools, so our opportunity is here? This logic... seems to make some sense. An average decline of 90%? Damn, that's pretty intense. Macroeconomic signals are very important, but don't follow blindly. Pay close attention to +1, feels like a big move is coming. A new order is brewing, crypto should take off now, right?

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TokenomicsTherapist

· 12-27 02:35

Gold hits back at the stock market, a major cycle turning point is here, this time it's really different --- 45 years, and you're really daring to break it? Feels like a big event is coming --- Wait, is the logic that when gold rises, crypto must rise too? Why do I feel it's not that simple --- Damn, only four times in 130 years, and this cycle is even longer? Luckily, I'm still in the crypto world --- It's just about rebalancing risk assets, what's with all the talk of historical turning points --- Will crypto take over the role of gold? That's a bit optimistic, brother --- Just focusing on gold's trend, so it's about bottom-fishing digital assets --- A 90% decline, that probability is a bit frightening to learn --- The old order collapsing, new opportunities brewing, this copy is good, but a bit too metaphysical --- Hey, I really haven't thought much about the Dow Jones gold ratio compared to angles, learned something new

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