#BTC

Globalization and Bitcoin: The real world impacts the digital.

It is interesting to note how the correlation of Bitcoin with traditional stock indices has begun to show signs of weakening, although it still remains at moderate levels. At the same time, its beta has decreased, suggesting that investors are perceiving it less and less as a purely high-risk asset and more as an integral part of a long-term diversified portfolio.

Chris Rhine from Galaxy explains very clearly that the non-sovereign nature of Bitcoin, its independence from the monetary policy of any nation, makes it a unique asset in the global financial landscape. Its value does not depend on the full faith and credit of a government, which fundamentally differentiates it from traditional fiat currencies.

This narrative of Bitcoin as an independent and resilient asset is reinforced by the analogy brought from Galaxy with the trade tensions between the United States and China in 2018-2019. At that time, an increase in the price of Bitcoin was also observed amid growing global uncertainty, suggesting that this dynamic is not an isolated phenomenon.

As the liquidity of the Bitcoin market continues to increase thanks to the entry of these large players, volatility tends to decrease. This, in turn, makes Bitcoin a more attractive asset for a wider range of investors, including those who have traditionally avoided cryptocurrencies due to their high instability.

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