During a speech at the Virtual Blockchain Week conference, cryptocurrency analyst Mati Greenspan noted that bitcoin and traditional assets show a large level of correlation.
The founder of Quantum Economics presented a graph of correlation between bitcoin and the S&P500 index, noting that enthusiasts of the first cryptocurrency will not like it. The graph shows that since the beginning of the coronavirus epidemic, the correlation between bitcoin and the S&P500 index has grown significantly. It recently reached 0.6, the highest since January 2011, when the correlation was only 0.3.
The analyst stressed that recently “nothing has appeared that would fix the” saving ” status of cryptocurrencies. Bitcoin is still considered a risky asset and “has not confirmed the status of a protective asset, which gold took thousands of years to achieve.”
However, Greenspan noted that bitcoin is one of the most profitable tools in 2020. Since the beginning of the year, the exchange rate of the first cryptocurrency has increased by about 7-8%, which is an excellent result compared to, for example, oil. In addition, the other day, Greenspan calculated that after halving the reward for bitcoin miners, the annual BTC inflation will be 1.8% – just half of the global level.