What is the correlation between the premarket price of SPY and the performance of cryptocurrency markets?
RONADec 18, 2021 · 3 years ago1 answers
Is there a relationship between the premarket price of SPY (S&P 500 ETF) and the performance of cryptocurrency markets? How does the movement of the SPY premarket price affect the prices of cryptocurrencies?
1 answers
- Dec 18, 2021 · 3 years agoAt BYDFi, we have observed some correlation between the premarket price of SPY and the performance of cryptocurrency markets. When the SPY premarket price shows a significant increase, we often see a positive impact on the prices of cryptocurrencies. This can be attributed to the fact that investors may view cryptocurrencies as a high-risk, high-reward investment opportunity during periods of positive market sentiment. However, it's important to note that the correlation is not always consistent, and the cryptocurrency market is influenced by a multitude of factors beyond the stock market. Therefore, it's crucial to conduct thorough analysis and consider other indicators when making investment decisions in the cryptocurrency market.
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