-
Institutional Insights: Deutsche Bank Five BTC Decline Drivers
The 5 Key Drivers of the Decline The report identifies five primary factors contributing to the recent bearish momentum: 1. Risk-Off Sentiment & Equity Correlation Bitcoin failed to act as a defensive hedge during the recent market downturn. Instead, it behaved like a high-growth tech stock. Correlation: Bitcoin's correlation with the Nasdaq 100 (46%) and S&P 500 (42%) has risen sharply, mirroring levels seen during the 2022 COVID stress. Safe Havens: Traditional safe havens like Gold and US Treasuries outperformed Bitcoin during recent geopolitical tensions (e.g., US-China trade hostilities). 2. Hawkish Fed Policy ... (full story)