Correlation of BTC With S&P 500 Sets A New High
On the last day of June, the correlation of the crypto-gold rate with the US economy index - the S&P 500 index - surpassed its historic maximum, reaching 66.2%.
The correlation indicator did not exceed 30% - 50% over the past year and only recently it began rapid growth. The average annual rate is around 37%.
“Bitcoin remains a risky asset in every way. And although some compare its fundamental characteristics with the gold, BTC has not yet proved to be a hedging or safe asset during periods of increased risk,” Stack co-founder Matthew Dibb said.
Signal for bulls
Matthew Dibb added that increasing correlation is a good signal for bulls. He believes traditional markets will only benefit from unprecedented monetary incentives.
The number of investors who did not perform transactions with their bitcoins during the year also reached record levels.
Source: CoinDesk, IntoTheBlock.
To date, the Bitcoin rate is about $9,100, and its total capitalization exceeds 260 billion US dollars.