Mike McGlone, senior commodity strategist at Bloomberg Intelligence, wrote on the X platform that the Bitcoin/Gold Cross Index plummeted compared with the S&P 500 Index, and the US Bitcoin spot ETF set a record inflow in January, which enhanced Bitcoin's status as a leading indicator, which may have an impact on risk assets thereafter.
The benchmark cryptocurrency hit a new high in the first quarter, which was a near-perfect timing; but Bitcoin did not exceed its 2021 peak compared with gold and the S&P 500 Index. This 24/7 traded cryptocurrency is volatile and speculative. The last time the S&P 500 e-mini futures broke through its 50-week moving average in November last year, it rose compared with gold, but this time the Bitcoin/Gold Cross Index is falling.