Bitcoin’s correlation with the S&P 500 returned to growth after the fall
The value of the index indicates a significant dependence of the cryptocurrency on the stock market
12.09.2022 - 07:30
321
1 min
0
What’s new? After falling to zero in June 2022, the correlation between bitcoin and the S&P 500 Index has increased dramatically. According to Yahoo Finance, this indicator stood at 0,59 on September 9. When the correlation index exceeds the level of 0,5, there is a strong dependence of the first cryptocurrency on the stock market.
News on the Yahoo Finance website
The S&P 500 stock index includes a basket of shares of the 500 largest-capitalized public companies traded on the US stock exchanges. The index is compiled by analytics firm, Standard & Poor’s. As of September 12, the S&P 500 stands at 4 067,36, having gained 1,53% per day.
What other data is presented? Bitcoin had significant divergences from the index in December 2020 (-0,38) and summer 2021 (up to -0,45). In August 2022, the index was at 0,31 and in early September it was 0,44.
In July, analysts at Deutsche Bank said that the price of bitcoin would reach the $28 000 mark by the end of 2022. According to a report, the correlation between digital asset rates and the Nasdaq 100 and S&P 500 stock indices has been increasing since November 2021. Experts predicted that by the end of the year, the S&P would rise to January levels, which means that the price of the first cryptocurrency could follow.
As of September 12, 07:50 UTC, BTC is trading at $22 179, having gained 2,73% per day, according to Binance.
Useful material?
Market
Funds can be seized by law enforcers due to links to illegal activity
Apr 26, 2024
Market
Tether Finance division will be responsible for the issuance and redemption of USDT stablecoins
Apr 18, 2024
Trends
The first project introduced on the platform will be BounceBit (BB)
Apr 18, 2024
Business
The rate exchange of the native ACH token reacted with a 10% increase
Apr 18, 2024
Market
Miners are hunting for the first block after halving as the value of the first satoshi could exceed $1 million
Apr 18, 2024
Market
The platform will be non-custodial and accessible to everyone
Apr 15, 2024