Contrary to previous years, where Bitcoin’s movement mirrored that of technology company stocks, the situation has now reversed.
As per the data presented by Bloomberg experts, the correlation between Bitcoin and stocks has reached its most negative rate since the beginning of the pandemic.
At the end of the summer months, cryptocurrencies, which previously didn’t deviate significantly, began to move in the opposite direction following the release of U.S. inflation data yesterday.
The tech-heavy Nasdaq index rose 2.15% in the last session, while Bitcoin lost 4.11% in the same hours.
Period of negative correlation
According to data from Bloomberg, the 30-day correlation rate between Bitcoin and the MSCI global stock index has decreased to -0.23 as of today.
Experts link this trend to the recent events in the crypto market. Last week, while the stock market exhibited relative calm, the news of a spot ETF from the U.S. sparked a rise in Bitcoin and altcoins. Currently, the waning enthusiasm could be leading to profit selling in cryptocurrencies.