Is Bitcoin Correlated with the Nasdaq 100:Gold Ratio?
Good morning Goldtent! Saw you guys looking at Bitcoin’s relationship with Gold so thought I’d share my finding here. I was listening to an interview on the Talk Digital Network YouTube Channel in which a guest speaker commented that his work showed that Bitcoin was correlated with the Nasdaq. This inspired me to look at the price of Bitcoin compared to the Nasdaq 100:Gold ratio. I found that Bitcoin rallied in 2016 following a breakout from a two year consolidation in the NDX:GOLD ratio. We presently find the NDX:GOLD ratio in another two year consolidation while Bitcoin itself is in another bear market, similar to the 2014-2015 time period.
If Bitcoin is indeed correlated with the Nasdaq, this would suggest that the market is viewing BTC similar to a tech stock and less like gold. Something to ponder.