Inverse Relationship (Cryptocurrency VS Stocks)

in bitcoin •  7 years ago  (edited)

Has anyone noticed at the stock market was tanking yesterday, the cryptocurrency market was going up? Once the stock market rebounded and closed, the cryptocurrency market went down.

Today, they have been inversely related as well. When the stock market goes one direction, the crypto market is going the other.

The stock market can't possibly be affected by cryptocurrency because of its size in relation to cryptocurrency. Cryptocurrency however could be influenced by the stock market. When investors pull out of the stock market, where are they going to put their assets? Sure, fiat is a good stable place for short term, but cryptocurrency could be prime to invest. I think that many investors are getting nervous about the stock market and could be shifting their assets into cryptocurrency. It could be a very opportune time to do so because the cryptocurrency market could be at the bottom.

If the stock market goes into a recession, it could take a very long time to recover. Anyone that has taken a hit or afraid of taking a further hit in the stock market could still be able to shift their assets to cryptocurrency. Even if cryptocurrency goes down further, it can recover much faster than stock market. The bonus is that the cryptocurrency market is at a low and possibly a really good time to buy.

What do you think?

Could Cryptocurrency be better than Gold?

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I think they will generally be uncorrelated but when robinhood opens perhaps it will be the beginning of closer correlations.

thanks for sharing
I see this to be true, The stock market will gradually move to Cryptocurrency in 2018

It could be really good for cryptocurrency.

That may be a little soon, but one can only hope. In the meantime, you can support crypto with tickers such as GBTC.

thanks for sharing a great news.... your post and writing skill impressed me... best of luck...

Hopefully some of the investors that are selling stocks now will buy some cryptos:)

I'm hoping.

Could Cryptocurrency be better than Gold?

Is this even a question? xD

I wish i had more money to invest, but i don't want to go all in on this, i like to keep a "better-be-safe-then-sorry" fund for emergencies

Haha. I wish I had more as well.

I follows you, please follows back.