Post
Topic
Board Speculation
Re: Buy the DIP, and HODL!
by
Sayeds56
on 19/03/2023, 07:06:42 UTC

For years there have been people who have been basing their investment choices into bitcoin based on what they believe that the fed will do and/or other macro factors, and they have been touting out nonsense regarding how bitcoin prices are correlated to equities, fed rates and various other macro factors like that, and sure there may well be some short term correlation, but a lot of people have gotten fucked because they fail/refuse to appreciate the reality that bitcoin is way less correlated than what the various pundits are proscribing it to be.


It is accurate to say  that there may be short-term correlation between Bitcoin and other macro factors, such as equities or interest rates, but the strength of this correlation  can vary widely and may not be consistent over the long term. In fact, Bitcoin correlation with traditional assets like stocks and bonds is relatively low, which makes it a potential valuable diversification tool for investors.