Bitcoin may face a longer grind lower relative to equities than many investors expect, according to analyst Benjamin Cowen.

Cowen warns of more underperformance

Cowen said in a Thursday video that bitcoin is “likely going to keep bleeding against the stock market,” pushing back on calls for a near-term rotation from gold and silver into bitcoin.

Cowen said:

“Bitcoin’s likely going to keep bleeding against the stock market.”

He added that expectations of a “massive rotation” from precious metals into bitcoin are “probably not going to happen” in the short term.

Metals surge as bitcoin slips

Gold and silver recently hit all-time highs of $5,608.33 and $121.64, respectively, according to Trading Economics.

Citi also forecast this week that silver could climb to $150 within three months, citing Chinese demand and a US dollar at four-year lows.

Others see a potential bottom forming

Swyftx lead analyst Pav Hundal told Cointelegraph he sees conditions that have “traditionally” preceded a turn.

Hundal said:

“We’re right on the cusp of where we’d traditionally expect to see re-risking back into Bitcoin.”

He said bitcoin bottoms have historically lagged gold’s relative strength by about 14 months, and he expects a rotation in February or March.

He added:

“If history repeats, and it is a big if, the gold-Bitcoin dynamic points to a potential BTC bottom forming over the next 40 days.”

Bitwise Europe head of research Andre Dragosch also argued bitcoin looks cheap versus gold.

Dragosch wrote on X:

“Bitcoin is trading at a steep discount to Gold on a relative basis.”

Market sentiment remained weak, with the Bitcoin fear and greed chart showing “extreme fear” at a score of 16.