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Citi: The correlation between the encryption market and the stock market will weaken in the long term.
PANews February 5th news, according to CoinDesk, Citibank stated in its latest research report that the correlation between BTC and the stock market is expected to weaken in the long term as digital asset adoption rises. Citi pointed out that although the stock market remains the main macro driver of the cryptocurrency market, the correlation between the stock market and the cryptocurrency market will gradually decrease as the cryptocurrency market matures, the investor base expands, technology advances, and adoption increases. In addition, further clarification of US cryptocurrency regulation may bring more market volatility driven by non-macro factors. The report also mentioned that the volatility of Bitcoin is expected to continue to decrease in the case of institutional adoption rise. At the same time, the correlation between Bitcoin and gold is worth paying attention to, which may be an early signal of its “value storage” property.