Quick Take

In a striking shift from established patterns, Bitcoin’s correlation with both Ethereum and Gold has significantly decreased in the past 90 days.

Historically, Bitcoin has, at times, mirrored the performance of major assets like US equities, trading one-to-one in the post-Covid era. Its similar trading correlation to gold after the March banking crisis even led to further narratives of Bitcoin being ‘digital gold.’

However, recent data reveals a contrasting scenario. While US equities have been on an upward trajectory, Bitcoin’s price movement has remained relatively static.

In a 90-day snapshot, Bitcoin’s correlation with gold is at -0.53, marking the second-lowest correlation in recent years. The only other time such a low correlation was observed was during the FTX …