The Fundstrat co-founder and bitcoin analyst Thomas Lee tweeted out an analysis earlier this week in regards to the state of S&P 500.
Despite a weakening worldwide growth as well as an ever-increasing uncertainty surrounding the ongoing trade wars and responses against big tech giants, the S&P 500 closed at a new all-time high according to Lee.
The Fundstrat co-founder noted to some past precedents in that the S&P unexpectedly went on a tear on the back of previous lows, stating:
“If markets follow path of 3 precedent ‘markets to nowhere’ this is good news for equity investors.”
One of his followers asked the bitcoin analyst if that would have “any positive effect on BTC”.
“Yes. Bitcoin is ambidextrous anyways.”
Before we go any further though, it’s worth saying that we aren’t financial investors and this isn’t financial advice. Please do your own research before putting your money in a cryptocurrency and always remember to trade safe!
Positive or Negative Correlation
On Friday, when BTC saw its biggest gains in months, Lee tweeted out saying that it performs to its best self when the S&P increases:
“+12% rally in #Bitcoin coinciding with strong equity day as S&P 500 nearing all-time highs...
- a reminder of the 'unpopular' opinion that the bitcoin performs best when S&P 500 rallies.
- best years Bitcoin when S&P 500 return >15%.$BTC mostly retail, thus, mostly 'risk-on'”
It’s safe to say, Tom Lee holds a relatively unpopular opinion in the bitcoin space…
It will be interesting to see how this situation plays out. For more news on this and other crypto updates, keep it with CryptoDaily!