Citi has reported that stocks continue to be the most significant macro driver of the cryptocurrency market. However, they anticipate that the correlation between equities and Bitcoin will diminish in the long term due to the increasing adoption of digital assets. As the cryptocurrency market matures and the technology advances, Citi believes that there will be more non-macro driven price actions, especially with clearer regulatory frameworks in the U.S. Presently, the speculative nature of crypto means that correlations with risk assets can be heightened during market downturns. The report also mentioned that as institutional adoption of Bitcoin grows, its volatility is expected to decrease. Additionally, cryptocurrency's market cap as a percentage of U.S. equities increased last year, and Bitcoin's correlation with gold warrants observation as it may indicate its potential as a 'store of value.'

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