Bitcoin acts like ‘store of value that it is’ amid Trump policy chaos: NYDIG
Bitcoin’s decoupling from traditional risk assets is “still very early and fragile,” but the shift is “palpable,” says NYDIG’s Greg Cipolaro.
Bitcoin is starting to act as a store of value during times of “US-risk-off” sentiment, marking a potential shift in its relationship with traditional assets, according to the New York Digital Investment Group.
Bitcoin BTC ^ $94,654 felt “noticeably different” over the trading week ended April 25, NYDIG’s global head of research Greg Cipolaro said in an April 25 market note.
“We’ve been observing subtle shifts in its behavior over the past few weeks,” he added. “The decoupling from traditional risk assets is still very early and fragile, but for those watching crypto markets 24/7, the shift is palpable.”
He added that the US dollar and long-term US Treasurys have also underperformed since the election and Trump’s April 2 “Liberation Day” tariff announcements, which lumped every country with various rates, the minimum being 10%.
Gold and currencies such as the Swiss franc have been consistent winners as safe havens, Cipolaro said, noting that Bitcoin is emerging as a non-sovereign store of value.
Amid surging volatility in equities, measured with the VIX index, foreign exchange rates (CVIX index), and interest rates and bonds (MOVE index), investors have been on the hunt for these safe haven assets.
Cipolaro said investors are also seeking alternatives to US hegemony, whether that is stocks, bonds, forex, or commodities.
Source: NYDIG, COINTELEGRAPH
