According to Bloomberg, the 90-day correlation coefficient between Bitcoin and the Nasdaq 100 index, a tech-heavy benchmark, reached 0.46 this weekâthe highest since late August. A coefficient of 1 indicates that assets move in perfect sync, while -1 suggests they move in opposite directions. Per the article, when the Fed began raising rates in early 2022, the correlation peaked at over 0.8, the highest since Bitcoin gained mainstream recognition.
Joshua Lim, co-founder of Arbelos Markets, told Bloomberg that investors are increasingly viewing crypto as a growth asset, valuing its technological capabilities and function as a value transfer mechanism. This perspective aligns Bitcoin more closely with growth-oriented assets like tech equities.
Bitcoin has been variously described as digital gold, an inflation hedge, and a store of value. However, its price volatility has challenged these…
