The world’s largest cryptocurrency Bitcoin (BTC) delivered a very strong performance during the first quarter of 2023 by gaining nearly 70%. Currently, the BTC price is under consolidation at around $27,800 levels.
Bitcoin has outperformed almost every other asset class this year including physical gold and US equities.
Interestingly, this BTC-Gold correlation has surpassed Bitcoin’s correlation with US equities. For a long period of time, BTC has shown a close correlation to the US equities, however, it has outperformed all three indices by nearly four times in Q1 2023.
Kaiko shows, Bitcoin’s correlation with the S&P 500 which is up 7.86% year-to-date. On the other hand, Gold gained somewhere around 8.6% during the first quarter. Outperforming all of these asset classes is Bitcoin which is up 70% since the start of the year.
Among US equities, Bitcoin has always shown a greater correlation with the tech-heavy Nasdaq index. The Nasdaq 100 index has also made a good recovery gaining more than 20% from December 2022 and technically entering a bull market.
On the other hand, the gap between Bitcoin and Nasdaq volatility has reached the highest level ever since the collapse of the crypto exchange FTX in November 2022.