Bitcoin May Follow Oil With A Rally To $79K
Historical data suggests Bitcoin could rally 20% to $79K if oil prices maintain their recent surge.Summary
The article explores a potential correlation between sharp increases in West Texas Intermediate (WTI) oil prices and subsequent Bitcoin (BTC) rallies, based on four historical instances since 2020 where WTI jumped 15% or more within 10 days. On average, Bitcoin gained 20% over the following four weeks during these periods. The most recent surge in oil prices, linked to geopolitical tensions involving Iran and Israel, has led analysts to question if Bitcoin could repeat this pattern and reach $79,200 by the end of March, starting from its recent $66,000 level. However, the analysis notes that only four events are not statistically significant for proving a solid correlation. Furthermore, Bitcoin's current 81% correlation with the Nasdaq 100 suggests its price is currently more closely tied to the tech sector than oil prices. Ultimately, the duration of the geopolitical conflict will be a key factor in determining if the historical rally pattern materializes for Bitcoin.
(Source：Cointelegraph)