Fidelity Flags Bitcoin as Diversifier Beyond Stocks and Bonds

Fidelity's Jurrien Timmer sees Bitcoin as a portfolio diversifier beyond stocks and bonds. He views it alongside commodities, gold, cash, alternative strategies, and leveraged loans as assets that behave differently from equities and bonds.

Timmer's chart shows Bitcoin's five-year correlation with the S&P 500 at about 30%. This is lower than its correlation with some other asset classes. For example, its correlation with long-term U.S. Treasuries sits close to zero.

The view comes as Bitcoin has shown renewed strength after breaking above $80,000. Timmer had been watching this level and saw a clear breakout confirming a double-bottom pattern that could point toward the $100,000 area.