The correlation between Bitcoin and US tech stocks has surged to its highest level in nearly three years, reaching approximately 0.80, according to Bloomberg data cited by The Kobeissi Letter. This marks the second highest correlation in almost a decade, with the 30-day correlation between Bitcoin and the Nasdaq 100 index showing a significant increase. Historically, this correlation has remained positive over the past five years, briefly turning negative only in 2023.
Currently, the 5-year average correlation between Bitcoin and the Nasdaq stands at 0.54, while its correlation with cash and gold remains close to zero. Analysts suggest that Bitcoin is increasingly mirroring the price movements of highly leveraged technology stocks, indicating a closer alignment with the tech sector's market dynamics.
Bitcoin-Nasdaq Correlation Hits Near Three-Year High
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