Bitcoin And S&P 500 Are Down: Which Did Benzinga Users Pick To Buy The Dip?

Last week’s trading week saw stocks and stock indexes like the S&P 500 fall after inflation data came in higher than expected, suggesting that potential Federal Reserve rate cuts may be delayed until later into 2024.

Leading cryptocurrency Bitcoin (CRYPTO: BTC) also fell on the week due to these market dynamics.

So, between the broad market index and the apex cryptocurrency, which asset is the better buy the dip opportunity?

Investing in Bitcoin, S&P 500: The term buying the dip refers to buying assets when the prices have experienced a short-term drop in price.

Often, a dip presents a buying opportunity for assets expected to perform well over the long term. Benzinga recently polled its users to ask which asset is the better current buying opportunity.

“Which is better buy-the-dip opportunity right now?”

The results were:

• S&P 500 Index: 54%
• Bitcoin: 46%

The S&P 500 Index narrowly defeated Bitcoin in the poll, meaning more investors polled see a better short-term buying opportunity in the leading U.S. stock index.

Related Link: Market Turmoil Resumes As Inflation Rises More Than Expected, Oil Prices Spike, Gold At Record Highs: This Week In The Markets

Why It’s Important: The S&P 500, which is tracked by the S&P 500 ETF Trust (NYSE:SPY), has hit several record highs in 2024. The tracking ETF is currently up 25.6% over the last year and up 7.8% year-to-date in 2024.

For the overall stock market and the S&P 500, higher inflation, delayed rate cuts, and increased international conflicts could limit short-term gains as investors assess the implications for the year ahead.

With macroeconomic factors taking center stage and international tensions escalating, the string of recent record highs hit by the stock market could ease.

Bitcoin is up 113% over the last year and up 46% year-to-date in 2024. Optimism for Bitcoin has increased in 2024 thanks to the approval of Bitcoin ETFs and ahead of the upcoming Bitcoin halving.

Happening around every four years, Bitcoin halving events have often led to higher prices for the leading cryptocurrency.

Bitcoin is often viewed as a safe haven, attracting investors during stock market uncertainties, making it a key asset to watch in the coming weeks.

The study was conducted by Benzinga from April 12, 2024 through April 15, 2024 and included the responses of a diverse population of adults 18 or older. Opting into the survey was completely voluntary, with no incentives offered to potential respondents. The study reflects results from 322 adults.

Read Next: Investment Expert Predicts 13% Downside In S&P 500 By Year-End With 4,500 Target: ‘We Don’t See The Justification For Higher Multiples’

Image generated using artificial intelligence via Midjourney.