#Bitcoin's Correlation With Nasdaq Hits Two-Year High#

The correlation between Bitcoin and the Nasdaq 100 index has recently reached its highest level in two years, with a correlation coefficient of approximately 0.70, indicating a high degree of synchronicity in the movements of these two assets. This phenomenon is mainly driven by recent US inflation data, which has fueled investor concerns about inflation, leading to stock market volatility. Bitcoin, as a risk asset, has also been affected. Analysts point out that the upcoming Consumer Price Index (CPI) data will have a significant impact on the market, and investors are hedging through the options market to manage potential volatility. Additionally, Trump-related momentum may also intensify in the days leading up to the inauguration, further influencing market sentiment. Overall, the correlation between Bitcoin and the Nasdaq 100 index reaching a two-year high suggests that the stock market's reaction to inflation data will have a significant impact on the digital token market.