Bitcoin vs the US Stock Market: "The Breakup"

[buwaytress]

And so we record a new 2020 high, interesting to see where this will take us now. That paypal thing certainly seems to have boosted Bitcoin even farther up the charts, careening away now from mundane stockmarkets (unless you're looking at China's sticks which have also hit record highs today).

I like that take. The price movements of both platforms are not necessarily a "breakup", but more of like a "cool off" when talking about relationships lmao, and will pretty much just come back together after a short while.

Yeah, divorces need a lot of history and ten years in some cases really isn't enough, especially not when the first few years they didn't even realise they were dating;)

[pjcaruci]

So far, bitcoin is winning. And the US is trying to pretend that nothing is happening.

[kryptqnick]

- bitcoin is hardly affected by the upcoming US Presidential election

..so far. Take note that this chart(and the movement divergence) is only hours of trading activity, and bitcoin can definitely continue following the S&P500 till whoever knows when.

Even if it gets affected by the election, how will we see it? If the price changed at the time around the election, it doesn't mean it changes because of it. There can be some completely unrelated reasons, and yet I'm sure there would be tons of articles making this connection only based on timing. We're very used to matching Bitcoin price changes to some events, but I often wonder if it's justified. As for the Stock market and Bitcoin correlation, it's truly temporary and not strong (some divergences can be seen pretty often). So while it can be observed and assessed, you also seem to agree (judging from replies) that it's a very unstable thing.

[mk4]

Even if it gets affected by the election, how will we see it? If the price changed at the time around the election, it doesn't mean it changes because of it. There can be some completely unrelated reasons, and yet I'm sure there would be tons of articles making this connection only based on timing. We're very used to matching Bitcoin price changes to some events, but I often wonder if it's justified.

Sure. I've never said that both assets are moving for the exact same reasons, as there's so little we can do to find out their exact reasons of price movement in the first place, and why they're actually somewhat correlated. But one thing's for sure, both are moving really really similarly and that's simply a fact. Weird how some people think that bitcoin and the S&P500's price correlation is my opinion for some reason.