Geopolitical uncertainty has kept investors on edge, especially as Russia attacks on Ukraine intensify.
On the macro front, the European Central Bank announced its plans to phase out of its bond-buying program by September, which could lead to higher interest rates.
Alternative cryptocurrencies is down 3% over the past 24 hours, compared with a 6% decline in BTC.
Bitcoin’s correlation with the S&P 500 has risen over the past year, partly because of the increase in volatility in assets around the world.
Therefore, the correlation between bitcoin and commodities collapsed in recent months to more normal levels .
A surge in demand for speculative assets occurred after the March 2020 market sell-off, and at the present time, the macroeconomic environment has caused investors to unwind their risky bets.
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