Bitcoin’s correlation to traditional assets raises red flags

Quick Take

As the market digests all the uncertainty from the banking fallout, equities such as the S&P 500 remain flat for March.
In recent weeks, in light of the SVB collapse, Bitcoin had uncorrelated itself from the traditional markets.
Bitcoin was up 24%, other assets remained relatively flat, and gold was also a winner.
But in recent days, the correlation to assets has spiked back up to almost February levels.
Bitcoin has a negative relationship with the dollar, which would be bearish if the dollar was to start going higher in the face of a liquidity or credit crisis as investors rush to dollars.
Correlation is a topic CryptoSlate will be analyzing on a day-to-day basis amid market uncertainty.

Correlation YTD