#BTCvsMarkets Bitcoin (BTC) and traditional financial markets have shown an evolving relationship. Historically, BTC exhibited little correlation with assets like stocks. However, since 2020, this correlation has increased, particularly with risk-on assets such as the S&P 500 and Nasdaq, especially during periods of high liquidity. Some analysts suggest that BTC might be decoupling from traditional markets, as seen in instances where BTC held strong despite downturns in traditional markets.

Currently, the global cryptocurrency market cap stands at approximately $3.03 trillion. Bitcoin remains the dominant cryptocurrency, with a market capitalization of around $1.85 trillion. This makes Bitcoin the fifth-largest asset by market capitalization, recently surpassing even Google. While BTC's fixed supply draws comparisons to gold as a potential inflation hedge, its shorter history provides a less certain track record compared to gold's established role. In high-interest rate environments, BTC has tended to struggle, but it is often viewed as a hedge against the debasement of fiat currencies.