Bitcoin against the SPX, overlayed with the NASDAQ

2022년 5월 14일

Bitcoin against the SPX, overlayed with the NASDAQ

As shown in the analysis, we can clearly see the correlation of the NASDAQ CURRENCYCOM:US100 / QQQ to the returns of Bitcoin.

When the QQQ/NASDAQ is in an uptrend, Bitcoin is in an uptrend.

I have purposely valued Bitcoin against the US500/SPX for 2 main reasons:
1) The US500/SPX is the benchmark we all need to beat.
2) The US dollar and other fiat currencies are being printed at an alarming rate and therefore we need a "stable" denominator for our analysis.

Using the BTC/SPX ratio, we can clearly see that bitcoin did not make a higher high in the Oct/Nov period, therefore signalling a slow down in the bullish momentum.

Using the Gaussian channel on the 5 day chart, we can clearly see the when an asset is below the channel, we are in a "Bearish" market and this is typically the best time to dollar cost average into the respective asset class.

We should look to the SPX and the QQQ for signs of a market recovery.