Is BitCoin Leading Stock Market Movements?

in b •  7 years ago  (edited)

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According to an article on Bitcoinist.com, it very well might.
If recent history is any indicator, when the price of bitcoin falls, so to do equities and high-yield bonds.
According to Jeffry Gundlach of employee-owned investment manager DoubleLine, was quoted:
“Bitcoin closed at the low of the year last week, SPX (Standard & Poor’s 500 Index) is now at the low of the year this week. Bitcoin keeps leading.”

Gundlach’s statement is ultimately a reiteration of what he’s been claiming for months. As noted by Reuters, the man in charge of overseeing $119 billion has made repeated claims that Bitcoin is the leader when it comes to risky assets. When the price of bitcoin plummets, he’s correctly noted, equities and high-yield bonds follow suit.

I’m not too sure how I feel about this, because I don’t think the stock markets are going to be saved by Bitcoin if you look at it from the opposite viewpoint. In my humble opinion pay very close attention to the Asian markets and what they do. Where and what Asia does is where the future goes. Just my two cents, how do you feel?

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I've noticed this correlation too, recently - I find it fascinating :)

To the question in your title, my Magic 8-Ball says:

My sources say no

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