https://cointelegraph.com/news/morgan-stanley-bitcoins-price-story-is-nasdaq-15-times-fasterBitcoin prices are behaving in a “surprisingly similar” way to the Nasdaq in 2000, Morgan Stanley told its clients in a note March 19.
According to Sheena Shah, an analyst at the financial services giant, research suggests Bitcoin’s rise and fall closely mimics the Nasdaq —but events are unfolding at “around fifteen times the speed.”
“The Nasdaq's bear market from 2000 had five price declines, averaging a surprisingly similar amount of 44 percent,” Shah said, quoted by CNBC.
The comparison is the latest attempt in mainstream finance to explain Bitcoin’s current price behavior in the time since the largest cryptocurrency hit $20,000 in December 2017, only to decline up to 70% two months later.
How do you look at this?
I think that this is a very good approximation.
Although many here dont like that BTC is compared to stocks or other markets as sillver or gold, the approximation is valid.
It is valid because the price ( in past months) was driven by mass hysteria of new players that did not want to miss out this opportunity to make a fast buck thus the price is drop was/ is normal and is mostly driven by humans psychology.
Also the 15 times faster movements is a good note because btc actually moves incredibly fast compared to other markets , i think it is correlated to the market cap, stock market had 8 and more trillion market cap when it bursted , the whole crypto market was 10 lower.
