Key takeaways:
- Oil price spikes often precede 20% spikes in Bitcoin value, though initial market reactions remain volatile and unpredictable.
- Bitcoin currently mirrors tech stocks with an 81% Nasdaq 100 correlation, making it less sensitive to oil prices.
Oil prices surged to $101 per barrel on Sunday, marking a 55% increase in ten days—the largest move in history. The event caused the S&P 500 to reach its lowest level in 10 weeks on Friday. Bitcoin (BTC) saw an initial positive reaction with prices jumping 16% between Feb. 28 and Wednesday, though it eventually erased the entire move by Sunday.
Traders now question whether Bitcoin price could suffer from the uncertainty brought by the US-Israel war with Iran. Persistently high oil prices could trigger inflation and hurt consumer…
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Source cointelegraph.com
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