According to the expert, the leading cryptocurrency’s growth momentum is currently about 30% weaker compared to the stock market index than it was at the start of October.
“The digital currency is closely linked to stock movement, but it shows a sharper decline on down days and a weak rebound during growth periods. This pattern reflects persistent selling pressure within the general investment environment where risk-taking is discouraged. Bitcoin’s present relative valuation against other risky assets significantly deviates from its fundamental indicators,” explained Lunde.
He stressed that in recent weeks, the divergence between short-term and long-term holders has intensified. Speculative capital continues to exit the market amid macroeconomic uncertainty, whereas large investors maintain their accumulated Bitcoin volumes and show no signs of alarm.
This establishes a scenario where short-term fluctuations become more pronounced, and price recovery happens significantly slower than anticipated. To alter this dynamic, the market needs a distinct external signal—either a substantial influx of liquidity or a reduction in selling pressure.
Only under this condition can Bitcoin narrow the correlation gap with tech stocks and return to a trajectory of stronger movement, the specialist concluded.
Previously, experts at XWIN Research stated that the crypto market is in a “Zebra Market” phase this year, where digital asset prices move in sharp, alternating impulses up and down, similar to black and white stripes.
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