Bitcoin Sees Modest Gains Despite Widening Divergence from Equities
Bitcoin's price rose modestly on Thursday to around $64,684, following the broader cryptocurrency market. The S&P 500 traded little changed after recent record highs.
The divergence between Bitcoin and US equities has become more stark since the start of 2025, with the S&P 500 returning over +25% while BTC is down close to -35%. Thahbis Rahman from Block Scholes noted that this does not necessarily signal a breakdown in Bitcoin's relationship with traditional risk assets.
The rolling 90-day correlation between Bitcoin and the S&P 500 remains historically elevated at around 45%, indicating that Bitcoin has simply participated less in market rallies while declining more sharply during periods of weakness. Derivatives data showed improving sentiment beneath the surface, with several indicators pointing toward a more constructive outlook for Bitcoin.