Strong Correlation with Market Brings Crypto South

12 พ.ค. 2021

Starting from March last year, that is from the start of the massive bull after COVID-19 lockdowns, strong correlation can be seen between the crypto market and the stock market, not in magnitude, for sure, but definitely in direction. This wasn't the case before and this is the reason of the crypto revival to begin with. Few exceptions have been witnessed, most notably the GME squeeze which brought the stock market down but didn't affect crypto, and the recent BTC saturation, even if the directions can still be seen to be correlated. Another notable thing is that the recovery of the stock market is much faster than the crypto market.

For the above reasons and based on what's going on right now (also see the linked ideas), I expect a south direction for all crypto assets till the end of the month, including Ethereum.