Bitcoin has continued to show resilience despite ongoing macroeconomic pressure, rising 7.68% over the past 30 days, while the S&P 500 and Nasdaq dropped 6.79% and 8.14% respectively, according to Google Finance. In a recent market note shared with Cointelegraph, Bitfinex analysts likened Bitcoin to the “cleanest shirt in the dirty laundry,” citing its growing strength as a store of value in volatile times.
The analysts observed that while the performance gap between Bitcoin and equities “appears real,” it’s too early to declare a permanent decoupling. Historically, Bitcoin has had short-term outperformance spurts that often reverted. But the current setup, with rising spot Bitcoin ETF inflows, geopolitical tension, and faltering tech stocks, could be shaping a new regime in digital asset investing.
Spot Bitcoin ETFs Draw Big Capital Amid Equity Slump
According to Bitfinex, April 22 witnessed $913 million in spot Bitcoin ETF inflows, the largest since late January. This growing demand for Bitcoin ETFs, combined with a 64.39% Bitcoin dominance rate (TradingView), reflects growing confidence in Bitcoin as a hedge against broader economic instability.
By contrast, traditional market leaders like Nvidia (NVDA) have stumbled. NVDA shares fell 15.4% in the same 30-day span, largely due to U.S. export restrictions on advanced chips to China and tariff-related uncertainties.
Analysts Split on Whether Bitcoin’s Rally Is Sustainable
Although Bitcoin’s recent strength has been notable, 10x Research‘s Markus Thielen expressed caution. He pointed to low stablecoin minting activity, a key liquidity indicator, as a reason to question the sustainability of the rally. “We remain cautious,” he said, suggesting that Bitcoin may still be vulnerable if broader liquidity doesn’t return.
Crypto investors are now focusing on upcoming macroeconomic data. The April CPI, expected May 13, could be a critical inflection point. March’s CPI dropped to 2.4% YoY, down from 2.8% in February, marking the lowest inflation reading since February 2023. However, the cooling CPI was interpreted by some as a short-term bearish signal for Bitcoin, especially if it reflects weakening demand across sectors.
Bitcoin As a Store of Value: Gaining Traction
Bitfinex concluded its analysis by reaffirming Bitcoin’s evolving status as a modern store of value, especially during times of economic fragility. As institutional capital continues to flow into Bitcoin via ETFs, and as traditional markets wobble, Bitcoin may indeed be entering a new era of independence from stock market cycles.
Whether this “decoupling” is temporary or the start of a long-term trend shift remains to be seen. But for now, Bitcoin is standing out as a rare winner in an uncertain financial landscape.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments are volatile and risky. Always conduct your research before making any investment decisions.
