Does the bitcoin price go up and down correlation to the stock market?

[greentech2]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday? 

[Harlot]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself, crypto on the other hand is less affected by those and mostly affected by the direct demand for it. That's why we barely see the crypto market and the stock market have the same or nearly identical movement. So basing your trade just because one market is bullish or bearish is something a careless trader would do, simply because it will be hugely inaccurate.

[rexxarofmoknathal]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself, crypto on the other hand is less affected by those and mostly affected by the direct demand for it. That's why we barely see the crypto market and the stock market have the same or nearly identical movement. So basing your trade just because one market is bullish or bearish is something a careless trader would do, simply because it will be hugely inaccurate.

I'm of the same opinion as @Harlor here, in that there doesn't seem to be neither a cause and effect nor a correlation between the crypto and the stock market. This can easily be tested by making a stock market prediction but if one was to follow crypto and predict the stock market will realise the relationship does not hold true at all.

This makes sense because if this correlation were to exist traders would instantly work that out and always apply it, thus getting huge bucks every time.

[Shimmiry]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday?  

Bitcoin and even other cryptomarket doesn't affect the stock market as both happens in different community and have different trading and market systems. Also, Stock market's system doesn't depend on the crypto market and vice versa. Therefore, it is easy to say that whatever happens on the drastic decrease of the crypto market would even make a little decrease nor dent in the stock market.

[GreatArkansas]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself. (....)

This should be always in mind or every people especially those new in cryptocurrency.
Maybe they have some thoughts about this because they tend to compare always the the prices or charts of stock markets or cryptocurrency, although sometime you can see some part that has similarity but overall for me, nothing.

[Harlot]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself. (....)

This should be always in mind or every people especially those new in cryptocurrency.
Maybe they have some thoughts about this because they tend to compare always the the prices or charts of stock markets or cryptocurrency, although sometime you can see some part that has similarity but overall for me, nothing.

Well the problem here is mostly about how mainstream news always try to connect everything surrounding Bitcoin, they always try to relate it to current events, price movements, and other news so that they try to be relevant in the industry. The negative thing about that is it misleads a lot of people as well as make them assume that everything has a relation but the truth is it doesn't have one.

I'm of the same opinion as @Harlor here, in that there doesn't seem to be neither a cause and effect nor a correlation between the crypto and the stock market. This can easily be tested by making a stock market prediction but if one was to follow crypto and predict the stock market will realise the relationship does not hold true at all.

This makes sense because if this correlation were to exist traders would instantly work that out and always apply it, thus getting huge bucks every time.

Like what I have said above I have a feeling that these newbie traders have this "stock market's movement is related to the crypo market" relation on reading a lot of news that's why they might think that they do have a connection since the have been mislead by the news. This won't change until these newbie traders try to educate themselves and at least be observant on what they are seeing rather than believing it instantly.

[Mumbeeptind1963]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself. (....)

This should be always in mind or every people especially those new in cryptocurrency.
Maybe they have some thoughts about this because they tend to compare always the the prices or charts of stock markets or cryptocurrency, although sometime you can see some part that has similarity but overall for me, nothing.

Well the problem here is mostly about how mainstream news always try to connect everything surrounding Bitcoin, they always try to relate it to current events, price movements, and other news so that they try to be relevant in the industry. The negative thing about that is it misleads a lot of people as well as make them assume that everything has a relation but the truth is it doesn't have one.

I'm of the same opinion as @Harlor here, in that there doesn't seem to be neither a cause and effect nor a correlation between the crypto and the stock market. This can easily be tested by making a stock market prediction but if one was to follow crypto and predict the stock market will realise the relationship does not hold true at all.

This makes sense because if this correlation were to exist traders would instantly work that out and always apply it, thus getting huge bucks every time.

Like what I have said above I have a feeling that these newbie traders have this "stock market's movement is related to the crypo market" relation on reading a lot of news that's why they might think that they do have a connection since the have been mislead by the news. This won't change until these newbie traders try to educate themselves and at least be observant on what they are seeing rather than believing it instantly.

I think one of the reason why Bitcoin goes down and up is because of the newbie trader, because of their mistake trading it caused it to bitcoin to be volatile. But not only those newbie Trader cause of falling but also those mistake trade of some traders, we can't blame those trader because all of us are also do mistake sometimes. I think we should more careful everytime we trade to lessen the mistake and risk.

[South Park]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday? 

Under normal circumstances the stock market and the market of cryptocurrencies do not really show too much correlation among each other, each one moves according to their own dynamics and do not influence one another that much, however what we are seeing now are nothing but normal circumstances, the fear of the coronavirus has spread and while it does not seems to be as dangerous as some other diseases it has created panic around the world and when that happens people prefer to hold cash instead of speculative assets and this is making both markets to go down.

[Twentyonepaylots]

Like what I have said previously in related posts Bitcoin and the crypto market has no direct correlation to what is happening in the stock market right now. While we both are being the demand for its supply the stock market is affected by external factors outside of its demand and those external factors are of the company itself and the economical performance of the country itself. (....)

This should be always in mind or every people especially those new in cryptocurrency.
Maybe they have some thoughts about this because they tend to compare always the the prices or charts of stock markets or cryptocurrency, although sometime you can see some part that has similarity but overall for me, nothing.

Most of the people thinks that crypto market and stock market is a seesaw lol. If the other is on top the other is at the bottom, vice versa. Well maybe because there are some sort of chart comparison whenever the other market is moving drastically and so people tend to predict. What really affects the price is the external factors and events like the corona virus, look at both markets they are both downed.

[pawanjain]

The crypto market is independent of the stock market but has some indirect relations. For example, if a person is selling his stocks and has money left to invest then he "might" invest in crypto.
Not everybody will do this thing but some might. Also, some people who have invested in both the markets might take out all the money from his investments in both the markets simultaneously if he loses money in any one of them. So in my perspective, though crypto market is independent of the stock market, sometimes they do have some indirect correlation.

[maydna]

I think the stock market is related to the situations and conditions that happen in real life. As we see now, the world now has a concern with the coronavirus, and I heard that affect the stock market, and make the stock market get a red candle, but I don't know if that is true or not. But the stock market doesn't correlate with the crypto market because it's running in different ways. Perhaps, you can compare between the gold market and the stock market, and I think that both markets will correlate.

But we don't know the truth, and we can only guess if between the stock market and crypto market correlate as you said.

[TheGreatPython]

I doubt there is too much of a correlation but we can't say it is totally unrelated neither. Remember last years start, the stock market crashed like hell and then the price of bitcoin crashed like hell as well, then at the April or so the price got leveled out in stock market and it did here as well, now because of corona the dow jones are all going down and there is still some sort of drop in bitcoin as well.

I am not saying they are fully correlated and they always act together because they don't but there are some few times when it does and you will never know when it will act together and when it will not act together unfortunately, it is just a mystery to all of us and we only get to learn it after it happened which it doesn't help us out at all.

[bitbunnny]

As far as I know there is no proven correlation between crypto market and stock market. Cryptocurrencies are not in direct connection with stock market and factors that influence these two markets are completely different. In fact activities in real world, to say so, like financial and economy situation still doesn't significantly influence crypto market.
So, if happens at the same time that movements in stock market and crypto market look similar and connected that is to my opinion pure coincidence.

[wozzek23]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday?  

Stock market became as volatile as bitcoin recently, I mean it used to be such a stable thing but right now looking at it, it has a very stable long periods of time (like bitcoin) and than does something crazy as well (like bitcoin) which I can't fathom what shareholders must be thinking since they got in for a non-volatile long term thing with stock markets. Maybe bitcoin is not connected to stock markets but stock markets are connected to bitcoin? Who knows.

I personally have seen it drop like hell 10+ months ago or so and I have seen it do it again now as well and both times bitcoin went down beforehand and that was like a warning I suppose, or if you took it as a warning you would have been safer in stock market. So, I am not entirely sure if we can call them totally unrelated.

[Kurokonobasuke]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday? 

The bitcoin and the crypto market doesn’t have any correlation to the stock market, because the stock market is for the external factors only like the economical performance of the country. So that if the crypto market will go up or down it wouldn’t affect the stock market. Crypto market and stock market move according to their rules and it doesn’t influence each other.

[bitgolden]

I am afraid it became a lot like that nowadays. Normally back in the day it wasn't like that at all, it was actually correlated in reverse where when stock market crashed the bitcoin price went up. For some reason bitcoin was triggered when people withdrew their money from stock market, even if that didn't mean they put that money into bitcoin at all, it was still going up no matter where that money went to.

However, lately it has been more correlated directly where stock markets went down and bitcoin went down with it, no idea why it is like that or not but that happens more frequently nowadays. I hope soon we will actually have reverse again because today was a really really bad day for stock markets and it affected us a lot. I don't want to see stuff like that again hopefully.

[wxxyrqa]

I am afraid it became a lot like that nowadays. Normally back in the day it wasn't like that at all, it was actually correlated in reverse where when stock market crashed the bitcoin price went up. For some reason bitcoin was triggered when people withdrew their money from stock market, even if that didn't mean they put that money into bitcoin at all, it was still going up no matter where that money went to.

However, lately it has been more correlated directly where stock markets went down and bitcoin went down with it, no idea why it is like that or not but that happens more frequently nowadays. I hope soon we will actually have reverse again because today was a really really bad day for stock markets and it affected us a lot. I don't want to see stuff like that again hopefully.

While Bitcoin fell to $ 5,100, I immediately drew attention to the stock market and commodity market quotes.  I made sure that almost everything falls in price.  Even oil has fallen in price by almost half.  Of course, the United States finds leverage to somehow preserve the value of its national currency, because unlike the dollar, the national currency of my country has significantly decreased in value.  I believe that there are very important points in the financial and economic world that affect the current situation.  Although so far I have blamed speculators for manipulating the cryptocurrency market, But it seems that they have nothing to do with it.

[South Park]

I am afraid it became a lot like that nowadays. Normally back in the day it wasn't like that at all, it was actually correlated in reverse where when stock market crashed the bitcoin price went up. For some reason bitcoin was triggered when people withdrew their money from stock market, even if that didn't mean they put that money into bitcoin at all, it was still going up no matter where that money went to.

However, lately it has been more correlated directly where stock markets went down and bitcoin went down with it, no idea why it is like that or not but that happens more frequently nowadays. I hope soon we will actually have reverse again because today was a really really bad day for stock markets and it affected us a lot. I don't want to see stuff like that again hopefully.

Most likely this has to do with the fact that in the past the majority of the people that were invested in bitcoin were libertarians, so when the stock market went down they decided to invest in bitcoin as a way to protect themselves from those movements but as bitcoin has become more popular then the kind of person that invests in this market has changed and now it has the same profile as those that invest in the stock market, so when the stock market goes down bitcoin goes down with it showing a higher correlation to it than in the past.

[SquallLeonhart]

Most likely this has to do with the fact that in the past the majority of the people that were invested in bitcoin were libertarians, so when the stock market went down they decided to invest in bitcoin as a way to protect themselves from those movements but as bitcoin has become more popular then the kind of person that invests in this market has changed and now it has the same profile as those that invest in the stock market, so when the stock market goes down bitcoin goes down with it showing a higher correlation to it than in the past.

This might not be applicable each of the time. There are times when people move their money from stock markets into crypto markets and this should derive the price for crypto markets on the peak and leave the stock markers on the dip. This would then be opposite than what you said. Stock markets depend on various factors which might even include the working of the company behind the stock whereas there is nothing backed by bitcoins so the price for bitcoins would entirely depend on the TA.

TA for stocks and cryptos would never be on the same line as they both have various possibilities to work on an opposite direction.

[Findingnemo]

On this weekend the crypto market goes down.  Will it predict the stock market to go down on Monday? 

Actually there is no relation between the crypto market and stock market but both of them were driving through people's emotions but I don't think most of stock investors really analyse crypto market conditions so it won't have the effect of stocks but if stock market fells then it might affect crypto price movements in the same direction.