Bitfinex: Bitcoin may further decouple from stocks and regain its leadership in global risk assets

PANews reported on April 7 that Bitfinex Alpha said in its latest report that after Bitcoin performed relatively toughly last week, with a weekly decline of only 0.65%, almost flat, far superior to traditional risk assets, it is obvious that this is just a delayed downward reaction. The market has now sold off, despite the BTC/S&P 500 ratio soaring to a level close to an all-time high of just 5%, showing strong relative strength. We believe that stocks are becoming deeply oversold, and a short-term rebound may narrow this gap in the medium term. However, short-term financing and open contract trends also indicate that Bitcoin is about to fluctuate. Nevertheless, structurally speaking, the basis for the outstanding performance in the later period of the second quarter seems to be forming. As macro volatility cools down, ETF capital inflows recover and sovereign narratives resurface, Bitcoin may further decouple from stocks and regain its leadership as global risky assets. Furthermore, while the Fed remains cautious in amid uncertain inflation dynamics, the overall situation shows that trade policy rather than monetary policy may be a greater risk to economic momentum in the coming quarters.