Bitcoin Correlation with US Equities Hits Two-Year Low Amid Post-ETF Deleveraging
Bitcoin has decoupled from US equities as its correlation with them hits a two-year low, according to Santiment data. In November 2022, the FTX collapse marked the last time this happened.
The 30-day rolling correlation between Bitcoin and US equities dropped to -0.299 in December 2025 and settled around 0.18 in January 2026. This is a striking picture of two asset classes going their separate ways.
From late August 2025 to early 2026, Bitcoin's price fell roughly 43%, while the S&P 500 gained about 7%. Gold surged 51% over the same period. After reaching an all-time high of approximately $126,000 in October 2025, Bitcoin experienced a pullback exceeding 50% by mid-2026.
Analysts point to post-ETF deleveraging as a primary catalyst for this split. The derivatives market cooled significantly after the initial wave of spot Bitcoin ETF enthusiasm, leading to reduced leverage. This means Bitcoin's price movements are less amplified by macro triggers that whip equity markets around.