Bitcoin and Stock Market Split for the First Time in a Decade
The post Bitcoin and Stock Market Split for the First Time in a Decade appeared on BitcoinEthereumNews.com.
Bitcoin has broken from its long-standing correlation with equities, marking its first full-year divergence from stocks in over a decade. The shift highlights a growing disconnect between crypto and traditional markets, raising questions about Bitcoin’s role in the current cycle. Sponsored Sponsored A Historic Market Decoupling Bitcoin and stocks have historically moved in tandem. However, that relationship appears to have fractured. According to Bloomberg data, the S&P 500 has climbed more than 16% this year while Bitcoin is down 3%, marking the first such split since 2014. BREAKING: Bitcoin is headed for its first full-year split from stocks in over a decade, marking the first time since 2014 equities rallied while crypto fell. pic.twitter.com/Ns25xJ2KV2 — Short Squeez (@shortsqueeznews) December 7, 2025 Such a clean break is unusual even by crypto standards, prompting renewed scrutiny of Bitcoin’s role within global markets. The divergence challenges expectations that regulatory optimism and institutional participation would automatically translate into sustained performance. It is especially striking given the broader environment, where artificial intelligence stocks are soaring, capital spending is accelerating, and investors are pouring back into equities. At the same time, traditional defensive assets are attracting attention, suggesting investors are reallocating rather than broadly embracing risk. Crypto-specific pressures, including forced liquidations and a sharp decline in retail participation, have materially exacerbated Bitcoin’s underperformance. Billions of unwound positions have amplified downside moves, turning what began as a correction into an industry retreat. Sponsored Sponsored As these signals accumulate, market sentiment has weakened, sparking debate over whether this represents a routine correction or a more significant structural change. Normal Pullback Or Something More? Bitcoin has long behaved as a momentum-driven asset, but the breakdown in sustained upside suggests that leadership within risk markets has shifted elsewhere. Inflows into Bitcoin ETFs have slowed, prominent endorsements have grown quieter, and key…
