Bitcoin has reached its most undervalued level relative to gold in years, according to recent analysis, suggesting a potential bull market heading into 2026. The Z-score, a statistical measure of the Bitcoin-to-gold price ratio, has fallen below -2, indicating Bitcoin is significantly undervalued compared to gold. Historically, such conditions have preceded major price rallies for Bitcoin. In late 2022, a similar undervaluation signal led to a 150% surge in Bitcoin's price. The current Z-score reading is even more pronounced, suggesting a stronger potential for Bitcoin's price appreciation. This setup is supported by factors such as Bitcoin's 2024 halving event, increased institutional adoption through Bitcoin ETFs, and evolving global monetary policies. While historical patterns suggest a favorable outlook, analysts caution that external factors like regulatory changes or macroeconomic shifts could impact outcomes. Nonetheless, the current statistical setup provides a compelling case for investors to monitor Bitcoin's trajectory closely through 2025 and into 2026.