Bitcoin (BTC) Loses Correlation With S&P 500 Stocks: Analyst


18 Sep 2023 4:15 PM

Former senior market analyst at eToro and CEO of Quantum Economics noticed major 'decoupling' event...

  • Mati Greenspan, former senior market analyst at eToro and CEO of Quantum Economics, has observed a significant "decoupling" event between Bitcoin (BTC) and top stocks.
  • The correlation between BTC and the SPX500 index has been declining since early 2023, marking the largest decline since the 2018-2019 bear market peak.
  • In the early years of Bitcoin's history, the correlation was mostly negative, but it started growing during the 2020 crisis.
  • Bitcoin still maintains a correlation with the Nikkei 225, a Japanese version of the SPX500.
  • In June 2023, Bitcoin also lost its correlation with gold, both of which are considered hedge instruments against market volatility.
  • The cause of this decoupling is not explicitly mentioned, but Greenspan suggests it may be associated with a bearish recession phase for Bitcoin.
  • Another analyst, PlanB, believes the market is currently in an accumulation phase before a new bullish rally expected to occur in 2024-2025.

The sentiment of the article is neutral. It presents the observation of a decoupling event between Bitcoin and stocks without expressing a positive or negative opinion.

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You May Ask

What is the current correlation between Bitcoin and the SPX500 index?How has the correlation between Bitcoin and stocks changed since early 2023?Is Bitcoin still correlated with any other major stock index?When did Bitcoin lose its correlation with gold?What is the market phase that PlanB believes Bitcoin is currently in, and when does he expect a new bullish rally to occur?

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