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23816548 No.23816548 [Reply] [Original]

Why is Bitcoin now inversely correlated to good news about Corona?

>> No.23816570

WHAT JUST HAPPENED BROS

>> No.23816599

>>23816548
BUMPING BECAUSE IMAGE IS UFNNY

>> No.23816662

>>23816548
Because the pump is due to a vaccine which people think means everyone will go back to work and the economy will boom. In reality we are about to roll into a deep recession so it’s a good time to sit in cash and wait for assets to get cheap and go on a buying spree.

>> No.23816681

$ is mooning.

>> No.23816692

>>23816548
it means the money printer is going to stop anon
pandemics are good news

>> No.23816702

>>23816548
there is zero correlation, how about the 2 days ago dump?
it's just a bit overbought, it will crab a bit and then go to ATH

>> No.23816719

>>23816548
In case you've been living under a rock for the last 6 months, Bitcoin is being espoused as the new digital gold, as it's better for this purpose in every conceivable way. GLD is down too.

Everyone wants a piece of beaten down stocks right now. Short term adjustment, long term nothing has changed. Inflation is still f'd and stock market is still sitting at ATH, and that was from the previously bloated pre-covid levels.

>> No.23816730

>>23816692
>it means the money printer is going to stop anon
>zero interest rates until 2025
pick one

>> No.23816805

>>23816730
Zero interest rates means nothing if no one is borrowing.

>> No.23816806

>>23816730
Exactly, the point is the money printer has never stopped. Look up the burrito index - by holding cash you're holding on to an asset that bleeds out by 7% on a good year(!). Their recent targeting of twice that level means inflation around 10-15%. That's why people don't invest in cash, it should only ever be used as a quick means of exchange.

If this isn't reason enough to get into Bitcoin, then you don't have your finger on the pulse.

>> No.23816830

>>23816681
It's not retard

>> No.23816906

>>23816548
Because it means the economy will return to normal and dollar domination will continue,

>> No.23816910
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23816910

>>23816548
>bitcoin is overpriced as fuck
>stocks are cheap due to the pandemic
>vaccine just got out
This isn't rocket science anon, stop being retarded

>> No.23816950

>>23816662
>the pump is due to a vaccine
But what about the BTC dump?

>> No.23816976

>>23816719
>Bitcoin is being espoused as the new digital gold

Is that why it dumped and recovered entirely in tandem with the stock market?

>> No.23817002

>>23816910
Bitcoin is 25-30% down from its ATH, while stocks are pretty much at ATH.
Stop sniffing glue.

>> No.23817025

>>23816950
Stocks are pumping, normies are just moving to where it seems theres more grass like the sheep they are
>>23817002
Imagine being this retarded

>> No.23817098

>>23817025
>Stocks are pumping, normies are just moving
Then explain how Bitcoin dumped and recovered entirely in tandem with the stock market since march?

>Imagine being this retarded
What?
It's the literal truth you dumbass.

Dow: ATH = 29k (just like now)
BTC: ATH = 20k (now it's 25-30% lower than that)

>> No.23817217

>>23816976
From March? Like I said, a lot has happened recently. More people are understanding its value as a store of value (due especially from the inflation and people using everything from tech stocks to pokemon cards as store of value) but you still have a lot of leftover people that view it as a simply currency.

Bitcoin became uncorrelated to the stock market after the stock market fizzled out after hitting its previous ATH's, whereas Bitcoin kept moving ahead. I'm going to be honest and say that it's probably a good time to shuffle money in and out of the stock market right now (get out of tech stocks too), and wait for a possible BTC dip. But in the coming months I would put 90% in Bitcoin. The stock market is going to get really stupid soon I imagine, valuations no longer matter, and we're due for major reshuffling as institutional wealth decides what to do. Retail doesn't matter.

>> No.23817293

>>23816830
https://www.marketwatch.com/investing/index/dxy

>> No.23817294

>>23817217
Bitcoin has been generally moving in tandem with the stock market all throughout the pandemic. Stocks are at ATH, while BTC is still 25-30% down from ATH.
Everything was correlated to each other, because everything stands of falls with society collapsing or not.

It makes no sense that good news about Corona should pump stonks but dump BTC.

>> No.23817330

>>23816548
That's a funny picture.

>> No.23817371

>>23817098
>BTC: ATH = 20k
What do you think this means? You fucking animal, this happened years ago when bitcoin was what everybody was talking about, do you think just because of that pump that happened YEARS ago bitcoin is going back to 20k in the next month? No, anybody with a 3 digit IQ would know that you don't buy bitcoin at 14k
>Dow: ATH = 29k
BAHAHAHAHAHA look at literally any stock in the last year and you will see a 50-80% drop due to the pandemic and literally last week almost every stock was still dropping, just because mega companies are doing good doesn't mean you can't find gems in the market specially now that everything else that isn't crypto is pumping hard

>> No.23817410

>>23817371
>What do you think this means?
It means that BTC is still 25-30% removed from its ATH. Meaning it has more breathing room compared to the local high just before the March crash.

>look at literally any stock in the last year and you will see a 50-80% drop due to the pandemic and literally last week almost every stock was still dropping
Imagine not knowing what the Dow Jones is.

>> No.23817421

>>23817294
I have money in both, I know exactly what they're doing, I don't have to look at charts, there was a point where SPY completely stopped paying me (in fact started to regress) and Bitcoin kept paying me (This was around when Bitcoin went from 12-15, the stock market did nothing during this period).

Everything is correlated at the macro level, but that doesn't mean you can't find periods where they are completely uncorrected, and uncorrelated trends over time.

Stocks are pumping because many stocks are still beaten down (take CCL for example, that's why CCL just made a vertical line and BTC did not). If you understand Bitcoin as emerging store of value, then you'll understand why it's fizzled today, and GLD is also down. It's all very transparent.

>> No.23817431

>>23816548
It's not, but believe whatever you want.

>> No.23817441

>>23817371
What this guy said, you're way out of touch with Bitcoin no offense. Is this your first day of looking into it, there's a lot more to understand. Good luck.

>> No.23817449

>>23817431
>massive news today about a 90% effective Corona vaccine that's almost ready
>BTC dumps

And vióla

>> No.23817514

>>23817421
>This was around when Bitcoin went from 12-15
lmao so like two weeks ago?
Right when the stock market started rallying again too?

>macro level
Says the guy pointing to a two-week window.

>> No.23817530

>>23817410
I just realized I'm replying to a reddit nigger

>> No.23817565

>>23817530
You're welcome for the lesson.

>> No.23817596

>>23816548
That picture had me genuinely clutching my sides for several minutes, fuck me

>> No.23817610
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23817610

>>23817421
Pretty much this
>>23817565
You are literally losing money on BTC as we speak

>> No.23817626

>>23817610
>You are literally losing money on BTC as we speak
Hence the thread.

>> No.23817630

>>23816548
that's horrible, we had such a nice golden bull run and they just fuck everything up with their vaccine. our only hope is this mutations in minks that might require a new vaccine and could spread over the world soon.
i don't want to go back to the office

>> No.23817720

>>23817630
Corona made Bitcoin dump, not pump.

Hence, the vaccine news should make it pump, not dump.

>> No.23817781

>>23817720
nah corona made stonks dump, which in turn pumped the dollar, which in turn dumped bitcoin. the devaluation of the dollar over the last weeks pumped bitcoin. it's all DXY, not covid.

>> No.23817783

>>23817720
how come
people bought more because no banks etc....

>> No.23817801
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23817801

>>23817781
>corona made stonks dump, which in turn pumped the dollar, which in turn dumped bitcoin

>> No.23818359

>>23817098
Trying to compare the two is retarded

>> No.23818401

>>23818359
I wasn't making the comparison, this guy was:
>>23816910
>>bitcoin is overpriced as fuck
>>stocks are cheap

>> No.23818405

>>23817514
You clearly don't know what you're talking about.
Check SPY/BTC price action from October to now. 30 days BTC up 36%/SPY 30 days up 5%.

>> No.23818427

>>23818405
You literally said "This was around when Bitcoin went from 12-15".
This happened a little over two weeks ago.

>> No.23818489

>>23817720
Explain to me why the vaccine made GLD dump. Not everything is positively tied into the vaccine. Why there was a K shaped recovery? These are rhetorical questions.

>> No.23818583

>>23818489
>Explain to me why the vaccine made GLD dump
Why are you asking me?

>Not everything is positively tied into the vaccine.
Well everything sure was negatively tied to the vaccine.

>> No.23818642

>>23818427
It happened before that, that was going off my memory. But it doesn't matter, take October 22. Look at SPY/BTC price action. SPY dump/BTC pump - they are totally inverted.

You can argue that they move in tandem, fine, whatever, but the fact is that money goes into different assets for different reasons. That's why gold is dumping, bitcoin is also a store of value asset. You could argue gold was moving in tandem, well why isn't it moving in tandem now? And why are tech stocks not moving as high as others. It's more complex than just "the stock market and bitcoin move in tandem". Bitcoin isn't a fucking stock.

>> No.23818668

>>23818642
You were saying how you should look at the macro, but you're bringing up the micro.

Yes, exactly on the 22nd of Oct BTC pumped but stonks didn't. But a few days later stonks started pumping too.

>> No.23818711

>>23816548
inflation hedge?

>> No.23818786

I personally think its a shakeout from whales to clean up on profits and then it'll pump by tomorrow morning. Stocks doing so well will eventually roll over into btc. I think everyone jumped on the btc bull train and are now taking advantage of the green stocks. Its gay because i too thought btc would soar today but that just goes to show with all the TA in the world, you never know shit with crypto.

>> No.23818920

>>23818668
I never said look at the macro.
Stocks have barely gone up at all since then. 12 to 15 is a 25% increase. Also gold explains it. I think you get it at this point.

Just remember, you can take a minor risk and try and get 2x your money on airline stocks or cruise lines. That's about the best you'll do. Tech stocks will probably go down from here. But BTC could see a 5x in the short term easily. That would put it at 1T market cap. Gold is somewhere around 7T. Think long term. You're investing in Google at its IPO, don't worry about short term spikes/dumps. Don't miss the forest for the trees.

>> No.23819008

>>23818920
>I never said look at the macro.
You said "everything is correlated at the macro level".
Major developments regarding Coronavirus are macro level, obviously.

>> No.23819108

>>23819008

That was after you said this
>Everything was correlated to each other, because everything stands of falls with society collapsing or not.

So I was only replying that, sure, everything is tied together in this generic way. But there's obviously more to it than that.

>> No.23819118

>>23816910
Stock are at all time high the moment we sprak you dumb fuck.

>> No.23819253

>>23819118
Depends on the stock doesn't it?
RDFN vs AAL

>> No.23819288

>>23818401
False, I wasn't comparing them, I was just saying it is obvious a lot buying power will move back to the stock market, you were comparing them and saying bitcoin should move with the market. You are forgetting the basics, BTC isn't a company

>> No.23819359

>>23819118
Look at airlines, oil, hotels (just to name a few) and say that again, retard

>> No.23819501

Shits going back to normal = no ones sitting at home = no one cares about crypto = market dumps.

>> No.23819754

>>23816805
So what you're saying is zero interest rates are having a huge impact.

>> No.23819802

>>23819108
And the question in OP is why is BTC inversely correlated to good news (macro).

>>23819288
>False, I wasn't comparing them
No, you were just saying BTC was overpriced while stocks were cheap.