Apparently Bitcoin is nothing more than a high beta tech stock...

in bitcoin •  2 years ago 

Bitcoin has been trading in lock step with stocks for a while now...

Curious why bitcoin has been so weak lately?

Look to the stock market!

Bitcoin has been moving in lock step with stocks for months now.

Here's the latest correlation to the S&P:

image.png

(Source: https://twitter.com/rovercrc/status/1517515465853128704/photo/1)

The correlation is even greater when looking at the tech heavy Nasdaq.

So, what does this mean for bitcoin going forward?

It means we either go where stocks go (likely) or we break the correlation due to some cyrpto specific black swan (less likely).

That being said, hopefully stocks are getting near their lows but with the FED turning every more aggressive due to high inflation, it's tough to know.

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The whales are playing their games! They want very cheap BTC! Before more players will be coming in openly!