Bitcoin (BTC) price measures have been closely reflected in the US stock market, especially NASDAQ and benchmark S & P 500 in recent years.
The problem arises as the fund manager is now on the stage of the US stocks on the stage. Can Bitcoin be the next casualty?
Fund managers dump our stock at monthly speed.
According to the latest survey by Bank of America, investors have cut the most exposure to US stocks with 40 percent records between February and March.
This is the most rapid monthly decrease since the bank began tracking data in 1994. The shift, called the “bulls,” reflects the decrease in the economic performance of the United States and the fear of the global downturn.
As 69%of the survey managers declare the highest point of “US exceptionism,” data signals the earthquake pivot, which can be dispatched to risky assets such as Bitcoin, given the positive correlation between 52 weeks, especially for many years.
Bitcoin and S & P 500 index 52 weeks correlation coefficient chart. Source: TradingView
The higher risk of Bitcoin and the extensive cryptographic market is caused by an increase in cash allocation of investors.
According to a March survey by BOFA, the level of cash, which is a classic flight-safety signal, has increased from 3.5%in February to 4.1%since 2010.
Bofa Global Fund Manager march survey results. Source: Bofa Study
In addition to anxiety, 55%of the managers rose to 39%in February, and 19%worryed about forcing inflation.
On the contrary, the most congested trading list of the survey still contains 9%of the “Long Crypto” and consists of the establishment of the US strategic Bitcoin protection zone.
Meanwhile, 68%of managers expect to cut Fed Rate in 2025 from 51%last month.
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The lower rates coincide with Bitcoin and the larger password market, and I think that POLYMARKET’s Bettors are 100% sure before May.
Bitcoin prices are indeed hanging
The price of Bitcoin has decreased for more than two months after a record of less than $ 110,000, which suggests that cryptocurrency can be restored in the next few months, taking into account the bull market correction.
“Historically, Bitcoin has experienced this type of correction at a long -term rally, and there is no reason to believe that this is different,” Nick Forster added to COINTELEGRAPH:
Technically, as of March 19, Bitcoin maintained a 50 -week index moving average (50 week EMA) to $ 77,250.
BTC/USD weekly price chart. Source: TradingView
Historically, BTC prices return to EMA for 50 weeks after a strong rally. Cryptocurrency’s decisive rest of Wave Support announced the bear market, the 2018 and 2022 modification cycle in the past.
source: Milkybull encryption
A clear breakdown under the waves support can make the BEARS of the BTC for 200 weeks EMA (The Blue Wave) to less than $ 50,000, reflecting the decline discussed in the Bofa Survey.
On the contrary, over 50 weeks of EMA led the price to the new session, similar to what the market witnessed in 2024.
This article does not include investment advice or recommendation. All investment and trading measures include risks, and the reader must do his own research when making a decision.