I noticed an interesting trend in the market — Bitcoin and gold have gone in completely different directions. The correlation between them has fallen to a four-year low, approximately to -0.7. If you recall, since last fall the situation has been wild: БТЦ has dropped by more than 40%, while gold has risen by almost half during the same period. It turns out there is a complete disconnect between the assets.

This is actually quite interesting — earlier, Bitcoin was positioned as digital gold, but now this correlation is showing a completely different picture. However, there are institutions like Emirates NBD that still believe in this idea. Their investment director, Maurice Gravelier, says that they are considering adding Bitcoin to the portfolio regardless.

Analyst Michael van de Poppe also noticed something interesting — the relative strength index of БТЦ versus gold is at historically low levels. The correlation has fallen so much that it could be a signal of a rebound, but when it will start is an open question. Right now, БТЦ is up 3.78% over the past day, but that doesn’t change the overall picture of divergence from gold. It will be interesting to see when this correlation returns to normal.