Bitcoin is breaking away from traditional markets

Popular exchange Kraken shows that the correlation between bitcoin (BTC), the dollar and legacy markets continues to weaken

Kraken, has detected a decreasing correlation between bitcoin and traditional markets at the same time that a rise is predicted and which will take your breath away, as the lender announced in a report.

According to the statement, at the beginning of September there was an 8-month low of correlation between the BTC and the S&P 500. The correlation would increase later as both markets experienced lateral consolidation. Bitcoin’s correlation with gold has remained positive since mid-July, with both markets experiencing bearish pressure in recent weeks.

If this behavior of the popular currency is projected in the future, by October the performance of bitcoin will be stronger than in September, which would be consistent with the trend exhibited in eight of the last nine years.

Faced with this scenario, the renowned analyst Raoul Pal, a former hedge fund manager, recently reported transferring more than half of his personal investment portfolio to bitcoin in anticipation of massive institutional adoption: “From what I know of all institutions and all the people I talk to, there is a huge wall of money coming into this.”

Alex Saunders from Nugget’s News, compared the current system in mid-2017 and predicted that the institutional appetite for bitcoin would likely trigger an “impressive rise” and said that the companies “publicly traded and legendary investors are ‘singing from the rooftops’ about this new ckind of asset at a time when there is record money in bank accounts looking for a stock house.”

K.Villarroel

Source: infocoin

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