CandleFocus

Bitcoin is showing rising correlation with the S&P 500

Author: Content Editor
Bitcoin's price has surged alongside the S&P 500 following the Federal Reserve's decision to cut interest rates. Bitcoin has gained nearly 3% in the past 24 hours, reaching above $63,000 for the first time in three weeks and adding over $200 billion in market capitalization since September 6. The S&P 500 has also experienced a strong recovery, adding nearly $1 trillion in market capitalization. The increasing correlation between Bitcoin and the S&P 500 could be attributed to the participation of institutional players in the crypto market and the anticipation of the Fed rate cut. However, it's important to note that the correlation can change unexpectedly due to regulatory hurdles and speculative behavior in the crypto market. A recent chart shows that only 42 cryptocurrencies have outperformed Bitcoin this year, with most of them being recently launched tokens or meme coins.

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