As U.S. stock indices are on the verge of breaking out again - this time after the instability caused by tariffs - Kaleo believes that Bitcoin may soon follow this trend and significantly outperform.
In the post on X, the analyst emphasized that history may repeat itself:
"The S&P 500 is once again on the verge of breaking new all-time highs - this time after fears about tariffs... I believe we will see history repeat itself and when stocks break out - Bitcoin will too and significantly outperform."
Outstanding comparison chart Pattern of 2020
The chart shared in the post overlays BTC (in green) and the S&P 500 (in orange) from 2019 to 2025. This chart highlights how Bitcoin's breakout at the end of 2020 closely resembles the moment when the S&P 500 entered the price discovery zone after the COVID incident. Kaleo suggests we may be witnessing a similar setup right now.
If this correlation holds, the next major bullish move for Bitcoin could be triggered by a breakout in the stock market, just like in the previous cycle.
This analysis further reinforces the view that the recovery of the macro market and risk-on sentiment are the key factors driving a new growth momentum for cryptocurrencies.