Bitcoin Shows Strong Correlation with Gold Amid Market Fluctuations

According to Odaily, CoinDesk analyst James Van Straten has observed that Bitcoin has decreased by approximately 1.5% since December 31 of last year. This performance is situated between gold, which has risen by 24%, and the Nasdaq 100 index, which has fallen by over 7%. Consequently, the notion of Bitcoin as either a leveraged tech stock or digital gold leans slightly towards the digital gold perspective. Analyzing the 30-day moving average correlation coefficient, Bitcoin currently shows a stronger correlation with gold, reaching 0.70, compared to a weaker correlation with the Nasdaq 100 index at 0.53. This indicates that Bitcoin's performance aligns more closely with gold rather than tech stocks. The correlation coefficient ranges from 1 (strong positive correlation) to -1 (strong negative correlation). Last week, Bitcoin's price increased by 10%, marking its strongest performance since the significant price surge following U.S. President Donald Trump's election victory on November 17 of last year. Meanwhile, Trump's tariff policies continue to exacerbate economic uncertainty.