Bank of America said Bitcoin’s movements relative to other assets could indicate a shift in investors’ views on it and a return to seeing it as a haven again, especially after a long trading during which it was considered an asset. risky.
For about 40 days, the correlation coefficient between The largest cryptocurrency is gold around 0.50, from about zero to mid-August.
While the correlation coefficients were higher with the S&P 500, at 0.69, and the Nasdaq 100 at 0.72, they fell from record highs a few months ago. According to “Bloomberg” and seen by “Al Arabiya.net”, Alkesh Shah and Andrew Moss, digital currency strategists at Bank of America, see this as an indication that things can change.
The strategists wrote, “The slow positive correlation with the S&P and Nasdaq, and the rapidly increasing correlation with XAU, spot gold, suggests that investors may see Bitcoin as a relatively safe haven as general uncertainty persists and the market bottom. remains to be seen “. .
It has been reported that in the past couple of years Bitcoin has been traded more as a pricing mechanism for risky assets, as the pandemic-era stimulus has pushed it to record highs and, with central bank policies changing, it is collapsed again along with those assets, which contradicts one of the accounts The main investment proposed by crypto-believers is that an asset with a fixed supply can act as “digital gold”, a safe haven free from the influence of bank decisions central and government.
The BofA note resonates with recent comments from popular US investor Mike Novogratz, who on Thursday said he sees Bitcoin as the diamond in the coal mine, alongside gold, and expects it to rise sooner than other cryptocurrencies.
