Bitcoin And Gold Show Diverging Trends Over The Past Year

According to Odaily, over the past 12 months, the Total World Indices have risen by 28%, with both Bitcoin and gold thriving in the global bull market. However, unlike gold, which is at its historical peak, Bitcoin remains 6% below its all-time high. Notably, the standard correlation value between Bitcoin and gold has dropped from over 50% four years ago to nearly 0 today. The similarities in the 90-day smoothed price charts of Bitcoin and gold are also at an all-time low. Specifically, in October 2020, Bitcoin's average daily return over a 90-day rolling period had a 50% positive correlation with gold's 90-day rolling returns. Currently, Bitcoin trades entirely independently of gold. The 90-day correlation between Bitcoin and gold now stands at just 0.04, indicating that over a three-month rolling period, gold's average returns have almost no impact on Bitcoin's average returns.