Bitcoin-Stock Correlation Hits Weakest Level Since 2022—Will It Last?
Bitcoin has lately change into the least correlated to the inventory market for the reason that FTX crash again in 2022, based on analytics agency Santiment.
Bitcoin Has Broken Away From S&P 500
In a brand new post on X, Santiment has mentioned how Bitcoin has moved relative to the stock market lately. The primary digital asset has confronted a downtrend alongside the remainder of the cryptocurrency sector in the previous few months that has taken its worth beneath $70,000. Compared to 6 months in the past, BTC is at present down 43%.
Historically, the asset has typically proven a point of correlation with the shares. “For years, Bitcoin has typically moved in the identical path because the inventory market, significantly the S&P 500,” famous Santiment. Lately, nonetheless, this development has damaged. While BTC has gone down, the S&P 500 is up 7% prior to now six months. Below is a chart that exhibits how the value trajectories of the 2 property have in contrast.
According to Santiment, that is the weakest correlation that Bitcoin has proven to the shares since November 2022. Back then, the collapse of cryptocurrency exchange FTX induced a worth crash for the asset that triggered it to diverge from the S&P 500.
This earlier breakaway for the cryptocurrency was completely different from the present one, nonetheless, because it lasted solely briefly. The newest one, alternatively, has been quite persistent. “Instead of transferring alongside equities, Bitcoin has sharply underperformed whereas conventional markets have remained steady and gold has thrived,” stated the analytics agency.
Now, will the decoupling that Bitcoin has skilled from the S&P 500 final? If the previous is something to go by, the reply could lean towards no. “Historically, when an asset that’s often correlated breaks away on this dramatic trend, it usually doesn’t keep disconnected eternally,” defined Santiment.
The S&P 500 isn’t the one conventional asset that Bitcoin has diverged from; Gold has additionally charted a unique path from BTC lately, regardless of the latter being popularly thought of the previous’s digital analogue.
In an X post, CryptoQuant founder Ki Young Ju has shared the info of an indicator that tracks the 90-day correlation between Bitcoin and Gold.
As displayed within the above graph, BTC principally noticed a optimistic diploma of correlation to Gold between 2022 and the primary three quarters of 2025. Since the final quarter of 2025, nonetheless, the correlation metric has plummeted into the unfavorable zone for the property.
A unfavorable correlation implies that whereas the 2 property exhibit a relationship, it’s of the unfavorable variety. In different phrases, it means the property are transferring in reverse instructions. “Bitcoin is in a “not digital gold” interval,” stated Young Ju.
BTC Price
At the time of writing, Bitcoin is buying and selling round $66,000, down 2% during the last week.
