The correlation between Bitcoin and the Nasdaq 100 index has reached a high since 2022
ChainCatcher news, according to Bloomberg, data shows that the 30-day correlation coefficient between Bitcoin and the Nasdaq 100 index is about 0.70, reaching its highest level in two years. A reading of 1 indicates assets move in sync, while a reading of -1 indicates an inverse correlation.K33 Research analysts Vetle Lunde and David Zimmerman wrote in a report: "The overall sensitivity to interest rates over the past month suggests that the importance of Wednesday's CPI data has increased. Additionally, the momentum related to Trump may still be significantly enhanced in the days leading up to the inauguration."According to data from trading platform Derive.xyz, hedging activity in the options market is increasing, indicating that investors are preparing for increased volatility. Sean Dawson, head of research at Derive.xyz, stated that the proportion of bearish bets has risen, suggesting that "as the inauguration approaches, investors are hedging against potential downside risks."