Bitcoin May Lag Equities Amid Market Rotation and Reduced Volatility
The post Bitcoin May Lag Equities Amid Market Rotation and Reduced Volatility appeared on BitcoinEthereumNews.com.
Bitcoin has recently fallen behind equities as market rotation signals a shift in investor risk appetite, highlighting changing dynamics in asset performance. While Bitcoin initially surged amid U.S.–China trade tensions, its momentum has cooled as equities consolidate near local highs, reflecting evolving market sentiment. According to trader Daan Crypto Trades, Bitcoin’s decoupling from stocks is marked by diminished correlation and reduced weekend volatility, suggesting a period of consolidation ahead. Bitcoin’s recent lag behind equities signals a shift in market risk appetite, with reduced volatility and uncertain momentum shaping crypto’s near-term outlook. ‘, ‘ 🚀 Advanced Trading Tools Await You!Maximize your potential. Join now and start trading! ‘, ‘ 📈 Professional Trading PlatformLeverage advanced tools and a wide range of coins to boost your investments. Sign up now! ‘ ]; var adplace = document.getElementById(“ads-bitget”); if (adplace) { var sessperindex = parseInt(sessionStorage.getItem(“adsindexBitget”)); var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesBitget.length) : sessperindex; adplace.innerHTML = adscodesBitget[adsindex]; sessperindex = adsindex === adscodesBitget.length – 1 ? 0 : adsindex + 1; sessionStorage.setItem(“adsindexBitget”, sessperindex); } })(); Bitcoin’s Momentum Slows as Equities Take the Lead Amid Market Rotation Over the past two weeks, Bitcoin’s performance has notably trailed behind the stock market, marking a significant shift in investor risk appetite. Initially, Bitcoin outperformed during heightened geopolitical tensions, particularly amid the U.S.–China tariff disputes. This period saw BTC leading aggressively, especially around the “Liberation” day and the announcement of a new trade deal. However, as uncertainty diminished, Bitcoin’s momentum cooled, while equities maintained strength and consolidated near their local highs. This divergence underscores a rotation from crypto assets back to traditional equities, reflecting investors’ recalibrated risk preferences. Decoupling Dynamics: Reduced Correlation Between Bitcoin and Equities Trader Daan Crypto Trades highlights that Bitcoin’s correlation with equities has weakened significantly in recent sessions. Historically, BTC has demonstrated a tendency to…
