Bitcoin is more stable than NASDAQ and S&P

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Bitcoin’s 20-day volatility has come to equal that of the NASDAQ for the first time in two years, according to cryptocurrency market data provider Kaiko.

However, the particularly interesting fact comes from the fact that while Bitcoin’s price has remained roughly the same since early September, both the NASDAQ and the S&P have declined 13% and 10% respectively since then.

Historically, Bitcoin has correlated with tech stocks, but with higher volatility, relative to the rest of the market. However, in the last quarter Bitcoin has been one of the best performing asset classes, next to the US dollar.

Counterattack with… bonds

Meanwhile, aggressive positions by central banks worldwide are beginning to turn bonds into a volatile but rewarding asset class.

As Bloomberg reported last month, bond yields have soared thanks to Fed policy, while DeFi yields have fallen below 100 basis points on protocols such as Aave.

Winning the battle

Bitcoin seems to be winning the battle of less volatility at the moment. Notable was the comment from popular Twitter analyst Will Clemente, who noted how the volatility of the Treasury market has skyrocketed against that of Bitcoin in recent months.

In fact, during the same time period, stock volatility also reached all-time highs against Bitcoin volatility.

“This shows how much of a decline in volatility Bitcoin is currently experiencing,” he tweeted the next day.

With assets globally showing weakness next to the dollar, even the United Nations asked the Fed to stop raising interest rates.

But the central bank is showing no signs of stopping at the moment.

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