Wasn't Bitcoin Supposed To Be Social Distancing From Stocks?
Plus debates around DeFi and bitcoin fees
Happy Friday, Blockfolians
Bitcoin’s one year correlation to the S&P500 has hit a new record high.
This is according to data from CoinMetrics as reported by CoinDesk.
On the one hand, this makes sense. During times of extreme unknowns and crisis, nearly everything trades together. Bitcoin has spent more time being correlated this year than other years by virtue of the fact that we’ve been living through such an extreme and unusual time.
One thing that people also forget: correlation also implies that all off our pitches to get institutional investors more involved have been successful. Those are the types of bitcoin holders most likely to need to sell off in a downturn, so the fact that we’re seeing this correlation is, at least in that way, a positive indicator as well.
Enjoying Blockfolio’s Market Refresh? Sign up to have it delivered every day.
Highly Relevant Reading
Appeals court rules that Bitfinex must face NY allegations over $850m in lost funds
Damn, Kyber’s token has appreciated 8-fold in 2020
Lithuania says “who needs a CBDC when you can just have a collectible coin?”
Uhhhhhh….a Ripple co-founder is placing security cameras all over SF. K.
The debate about whether fees alone can sustain bitcoin is going to be vicious.
And speaking of debates…
A Really Big Number We Should Be Paying Attention To
That’s the value of bitcoin that the BitClub mining pool Ponzi scheme cheated people out of, according to a new plea from programmer Silviu Balaci.
Capitalism do be like that