What is the correlation between Bitcoin and the S&P?

3 answers

• Dec 28, 2021 · 3 years ago
  Bitcoin and the S&P have shown some correlation in recent years. When the stock market experiences a downturn, Bitcoin tends to perform poorly as well. This could be due to investors selling off both stocks and Bitcoin in times of uncertainty. On the other hand, when the stock market is performing well, Bitcoin also tends to rise. However, it's important to note that correlation does not imply causation, and the relationship between Bitcoin and the S&P is not always consistent.
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• Dec 28, 2021 · 3 years ago
  The correlation between Bitcoin and the S&P is not always straightforward. While there have been instances where both have moved in the same direction, there have also been periods where they have moved independently. It's important to consider other factors such as market sentiment, economic conditions, and regulatory developments that can impact both Bitcoin and the stock market. Additionally, Bitcoin's unique characteristics as a decentralized digital currency can also influence its price movements independently of traditional markets.
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• Dec 28, 2021 · 3 years ago
  According to a study conducted by BYDFi, there is a moderate positive correlation between Bitcoin and the S&P. This means that when the S&P goes up, Bitcoin is more likely to go up as well, and vice versa. However, it's worth noting that correlation does not imply causation, and there are many other factors that can influence the price of Bitcoin. Therefore, it's important to conduct thorough research and analysis before making any investment decisions.
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