00:00 Josh
stocks ended the day higher as Bitcoin falls back below $90,000 as the S&P 500 has climbed over 16% this year. The cryptocurrency is down about 3%. This is the first time in 10 years that Bitcoin has split from stocks, according to Bloomberg. Joining us now with more is our very own Inez Ferre. Inez.
00:14 Inez Ferre
Yeah, Josh, as you just mentioned, uh Bitcoin down for the year. Meanwhile, you’ve got the S&P 500 that is up for the year. So if we just take a look at Bitcoin and we put up a year-to-date chart, you’ll see, uh it’s down 5% year-to-date as of right now.
00:30 Inez Ferre
That’s because Bitcoin is down around 89,000, down more than 3% over the last uh 24 hours. So this is the first time since 2014 that this has happened. Uh traditionally, you see Bitcoin moving in tandem with stocks.
00:46 Inez Ferre
But as you can see, in year from the all-time high in October, you are watching Bitcoin that’s down about 30% from that all-time high of uh north of 126,000. So it’s been quite a fall that we’ve seen with Bitcoin.
01:03 Inez Ferre
and it has been losing out that you we’ve seen outflows of ETFs and what strategists are saying is is that investors are going towards the metals. I mean, the momentum really has been in the metals market. So the question is, uh look, Bitcoin, crypto has gotten everything that it’s wanted this year as far as regulation, the Clarity Act is in Congress. So the Trump administration is behind this.
01:29 Inez Ferre
But what will send crypto higher going into next year? Well, we do have the Fed easing and that’s expected to uh be uh bullish for crypto. And you also have the Clarity Act uh in Congress. But just taking a look at the difference between what we’ve seen with crypto and what we’ve seen for example with gold, as I mentioned.
01:45 Inez Ferre
Gold is the second best asset right now. Year to date, it is up 60 nearly 60%. The first being silver that’s up almost 100%. We have seen momentum going into gold and going into silver, especially over the last several months.
02:02 Inez Ferre
And so what strategists are saying is is that yeah, you’ve seen that shift. Traditionally though, or historically, what some strategists, what some bulls on for crypto are saying is is that when you see gold going higher, that tends to front run crypto. So the expectation is is that as we have seen gold going higher and higher, then this would be bullish for Bitcoin.