While the S&P 500 tries to carve out a low for the year, bitcoin bumbles along.
It’s not showing any meaningful upside strength but it’s also holding above the 2022 low.
The top cryptocurrency still has its fans — like Ark’s Cathie Wood — but its lack of upside strength combined with a bear market in multiple asset classes has investors shying away from this risk-on asset.
We’ve seen that bitcoin seems tied more to riskier assets than to inflation measures. As growth stocks soared in late 2020 and into 2021, bitcoin did, too. Once a bear market hit equities and bonds, bitcoin tumbled. That’s even as inflation surged.
