Explore our article to find out how you can complete bbSOL Golden Maxi Rewards tasks to win rewards worth over $700,000 in SONIC, SSI, J and ALCH airdrops!

Lunar New Year is just around the corner, and Bybit is turning up the excitement with its bbSOL Golden Maxi Rewards campaign! This festive event offers users a chance to stake SOL, earn bbSOL and complete fun tasks to unlock Red Packet rewards worth over $700,000 in SONIC, SSI, J and ALCH airdrops.

Not sure where to start? No worries — we’ll walk you through everything, from explaining what bbSOL is to showing you how to complete tasks and maximize your rewards.

 token provided by Bybit when you stake SOL on Bybit’s platform. Instead of locking up your SOL and waiting for staking rewards, you receive bbSOL in return, which you can use for DeFi, trading or lending while still earning staking rewards.

How to Participate in bbSOL Golden Maxi Rewards

button at the top right corner of the page to connect your 

If you don’t already have a Bybit Web3 Seed Phrase Wallet, you can create one by downloading the Bybit Wallet Extension and clicking on 

Create Your Bybit Web3 Seed Phrase Wallet

to successfully connect your Bybit Web3 Seed Phrase Wallet

: Complete all tasks. Please note that you only need to complete the staking task once. Once you’re done, simply click on the corresponding 

: On the bbSOL Golden Maxi Rewards Bybit Web3 Airdrop Arcade campaign page, scroll down to the segment under 

task, and you’ll be redirected to the bbSOL landing page.

: Stake at least 0.5 SOL to obtain bbSOL. Then, click on 

: Refresh the page, and the staking task should be marked as completed.

: For the last task, read the campaign’s T&Cs in order to understand the Red Packet Rewards! 

task, and you’ll be redirected to the bbSOL landing page. If you’ve already completed the staking task previously for Sonic, simply refresh the page or click on the 

button, and this task should be marked as completed.

task, and you’ll be redirected to SoSoValue’s official website. 

: On the bbSOL Golden Maxi Rewards Bybit Web3 Airdrop Arcade campaign page, scroll down to the segment under Jambo. Click on the 

task, and you’ll be redirected to the bbSOL landing page. If you’ve already completed the staking task previously for either Sonic or SoSoValue, simply refresh the page or click on the 

 task, and you’ll be redirected to the page to complete the last task.

: On the bbSOL Golden Maxi Rewards Bybit Web3 Airdrop Arcade campaign page, scroll down to the segment under Alchemist AI. Click on the 

task, and you’ll be redirected to the bbSOL landing page. If you’ve already completed the staking task previously for either Sonic, SoSoValue or Jambo, simply refresh the page or click on the 

The bbSOL Golden Maxi Rewards campaign is a great way to make the most of your SOL while celebrating the Lunar New Year. By simply staking SOL, you’ll unlock the chance to earn airdrops from top projects like Sonic, Jambo, SoSoValue and Alchemist AI.

If you haven’t jumped in yet, now’s the time. Stake, complete tasks and claim your share of the $700,000 prize pool before the event ends. Don’t miss out — get started today!

Beginner

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How to Complete bbSOL Golden Maxi Rewards Tasks for Bybit Web3 Airdrop Arcade

In this article, we'll go through how you can use bbSOL on Jito Re(staking).

 with Jito (Re)staking, now actively supported by P2P.org through the introduction of the rstSOL vault. This guide explains how 

 (bbSOL) holders can benefit from this collaboration, enhancing both liquidity and rewards within the Solana ecosystem.

Jito (Re)staking, a protocol within the Solana network, focuses on multi-asset staking that optimizes capital efficiency through a unique tokenization process. 

, Jito (Re)staking allows participants to retain liquidity while their assets earn staking rewards. Jito’s platform is renowned for its secure, transparent operations and a commitment to boosting the Solana ecosystem’s overall performance. 

P2P.org has launched the rstSOL vault as part of the Jito (Re)staking ecosystem, enabling users to restake their bbSOL. On Jan 30, 2025, the rstSOL vault will support its first 

 tip distribution and enhancing the transparency of network rewards.

The launch of the rstSOL vault marks the start of real-time reward generation for participants, coinciding with the TipRouter launch to ensure immediate benefits for stakers. Initially, the rstSOL vault will exclusively support TipRouter, with plans to expand to include other NCNs like Squads, Switchboard and Sonic in the future.

Through a strategic partnership with Bybit, the rstSOL vault will only accept bbSOL, Bybit's liquid staking token for Solana. This exclusive arrangement allows bbSOL holders to actively engage in the Jito (Re)staking ecosystem, thereby enhancing both the liquidity and efficiency of their staking activities. With an impressive $146.5 million already restaked across Jito’s vaults, such as kySOL, ezSOL, bzSOL and fragSOL, the ecosystem is experiencing robust growth. The addition of the rstSOL vault is poised to further accelerate this momentum and expand the capabilities of restaking on Solana.

As a key player in supporting the Jito NCN ecosystem, starting with the TipRouter, P2P.org is instrumental in pushing the boundaries of what restaking can achieve on the Solana blockchain. 

: If you don’t already have bbSOL, you’ll first need to obtain it by staking your SOL on 

Alternatively, you can do so through Jupiter or the Phantom Wallet.

 and approve the connection by clicking on 

: Once you’ve connected your Bybit Wallet, ensure that you’re on the 

tab by clicking on the drop-down menu on the left side of the page.

: Enter the amount of bbSOL you want to restake, and the amount of rstSOL you’ll receive in return will be calculated automatically.

: Verify the details of the transaction, and click on 

Congratulations! You’ve successfully restaked your bbSOL into the rstSOL vault! You can keep track of your rewards and track your rstSOL through the Jito Dashboard. You can also add more bbSOL to the rstSOL vault or withdraw your bbSOL, as needed.

Jito (Re)staking provides bbSOL holders with a unique opportunity to enhance the utility and rewards of their staked assets within the Solana ecosystem. Through the operational expertise of P2P.org and the innovative staking solutions from Jito, users are equipped to maximize their contributions to Solana’s decentralization and enjoy substantial returns on their investments.

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How to Use bbSOL on Jito (Re)staking

Hive AI is a modular system of decentralized agents working together to execute various on-chain DeFi tasks. Learn more now!

 is a network that’s composed of different decentralized 

. These agents execute complex on-chain operations, such as trading, staking and liquidity management, all through an intuitive natural language interface. By simplifying 

 (DeFi) processes and interactions for users, Hive AI makes the DeFAI (that is, DeFi + AI) space more accessible, offering powerful solutions for both novice and seasoned users.

This article explores what makes Hive AI unique, from its role in the DeFAI sector to its award-winning innovation at the Solana AI Hackathon. We’ll also explore its tokenomics, compare it with other DeFAI platforms and discuss how the BUZZ token shapes Hive AI’s ecosystem.

DeFAI, short for decentralized finance AI, merges artificial intelligence (AI) with 

-based financial systems. These projects leverage AI agents to automate and optimize activities like trading, 

 and market analysis, making DeFi more efficient and accessible. By combining the analytical power of AI with the transparency of decentralized protocols, DeFAI creates a new era of innovation in which users can benefit from real-time insights and automation.

The sector has seen rapid growth, with market potential expected to surge from $1 billion to $10 billion by the end of 2025. Projects like Griffain (see more below) and 

 are at the forefront, blending advanced AI features with decentralized tools to simplify complex financial operations.

One of AI’s greatest strengths in DeFAI is its ability to process vast amounts of 

 data. By analyzing blockchain activity alongside external market trends, DeFAI platforms empower users to make quicker, data-driven decisions.

Hive AI is a modular system of decentralized agents working together to execute various on-chain tasks. Each agent is specialized — to handle trading, staking or analysis — while higher-level agents coordinate these actions for more complex operations.

The platform’s intuitive design allows users to input simple queries, with the network automatically selecting the best agents for the jobs. Its scalable architecture ensures adaptability, enabling seamless integration of new agents and features. This dynamic setup not only simplifies DeFi interactions but also evolves continually, offering ever-expanding functionality for users.

, a full-stack software engineer with expertise spanning blockchain, AI, fintech and gaming. A graduate of Vanderbilt University, with degrees in computer science and mathematics, Jason has a proven track record of innovation and leadership, including serving as Project Manager for Change++ and as president of his fraternity chapter.

In May 2024, Jason secured first place at the global Microsoft Generative AI Hackathon by developing an AI copilot for students. This revolutionary tool processes multimodal inputs — like text, images and PDFs — to build knowledge graphs and guide learners toward their goals, showcasing Hedman’s knack for transformative technology.

, earning the $60,000 grand prize. This achievement highlights the platform’s innovative approach to decentralized AI. Hive AI’s win cements its role as a leader in the AI-powered blockchain space. Onward and upward! 

 designed to streamline DeFi transactions. Each agent has a specific 

, defining its tasks and capabilities. Users set objectives such as "Allocate 100 USDC to the top 5 highest-yielding pools daily," using a natural language interface. The Orchestrator agent selects the best tools from the action space to meet the objective, integrating Solana, CDP and social agent kits.

For autonomous tasks, the Orchestrator creates a task scheduler to manage the agent's activities, such as querying lending pools, lending on Solend or withdrawing funds. Hive AI’s intuitive setup and powerful coordination simplify complex DeFi workflows.

Hive AI stands out with its interoperable on-chain agents, enabling seamless coordination across diverse DeFi tools. Unlike Griffain (GRIFFAIN), which focuses on fixed trading strategies, Hive AI (BUZZ) offers flexible, user-defined objectives. Similarly, while HeyAnon (ANON) emphasizes conversational AI for crypto queries, Hive AI prioritizes actionable automation through task scheduling and customizable agents.

BUZZ is the native token of Hive AI’s DeFi ecosystem, which is built on the Solana blockchain. The total supply of BUZZ is approximately 999.87 million tokens. Token allocation includes 5% locked for one year, held by developer Jason Hedman.

BUZZ facilitates various functions within the Hive AI platform, such as transaction fees, governance participation and incentivizing network participants. The BUZZ token reached an 

 on Jan 22, 2025, with a 24-hour trading volume exceeding $98 million. Its market capitalization has surpassed $100 million, reflecting significant growth and interest in the project.

Hive AI represents a major step forward in combining AI with DeFi. Its modular agent-based system, intuitive interface and award-winning innovation at the Solana AI Hackathon together position it as a leading force in the DeFAI sector. The BUZZ token further strengthens its ecosystem, offering further utility and driving user engagement.

For traders, there's more exciting news. Bybit users can now trade the BUZZUSDT Perpetual contract in the Innovation Zone, with leverage of up to 20x. This listing provides an opportunity to engage with the Hive AI ecosystem directly and benefit from its growing adoption. Learn more about the BUZZUSDT Perpetual contract in Bybit’s 

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Hive AI (BUZZ): DeFAI Platform and Winner of the Solana AI Hackathon

De.Fi (DEFI) is a multichain protocol offering DeFi users a comprehensive set of security tools to help them invest confidently

 (DeFi) has experienced monumental growth over the years with the industry-wide 

 (TVL) standing at over $91 billion by the close of 2024. Despite the head-spinning influx of funds into DeFi platforms, security concerns are running high.

Some DeFi users place their trust solely in the cryptographic security mechanism used by blockchains, assuming it to be nearly infallible. Yet, the DeFi space has witnessed the loss of billions due to 

 and exploits in recent years, a stark reminder that achieving comprehensive security on these platforms is far from an accomplished task.

Simply speaking, the pace of growth in the DeFi industry has far outstripped the security advancements made by its protocols. In an environment where hacks, 

 vulnerability exploits are rife, what’s sorely needed is an industry-wide solution to address these challenges. We might now have that fix in the form of De.Fi (DEFI), an innovative, decentralized multichain protocol committed to safeguarding traders’ funds within the crypto finance ecosystem.

De.Fi offers a suite of products designed to enhance the security of investing and transacting on DeFi protocols. In the words of the De.Fi project team, its aim is to become the “CoinMarketCap of Security.”

 (DEFI) is a multichain protocol offering DeFi users a comprehensive set of security tools to help them invest confidently

. These tools are crafted to aid in protecting investments, analyzing protocols and monitoring the landscape for any suspicious developments. Using De.Fi, traders can monitor network addresses and wallets, keep an eye on their borrowed or lent funds, explore safe yield opportunities and obtain insights into any vulnerabilities associated with 246 protocols across 33 blockchains covered by the platform.

De.Fi also includes tools for smart contract security analysis and audit. The platform maintains some of the largest security-related databases — both a database of smart contract audits, and a database of DeFi protocol hacks (also known as “rekts”).

The De.Fi platform features a generative AI-based tool that guides traders in making informed investment decisions, based on their personal preferences, that takes into account security considerations, investment risk levels and other critical factors.

As of mid-January 2025, De.Fi had integrated with over 33 blockchain networks with full EVM interoperability, such as 

Some of the popular Ethereum-based DeFi protocols covered by De.Fi

The De.Fi Portfolio Tracker, a key feature of the De.Fi platform, is a comprehensive super app to help users with all their DeFi needs. This feature is designed to address the complexities associated with DeFi, especially when it comes to managing assets.

Some of the features you’ll find on the De.Fi Portfolio Tracker are as follows:

Get a view of your entire digital assets at a glance, and quickly scan your holdings to see your crypto tokens and NFTs across multiple 

-compatible and non–EVM-compatible chains.

Because of the fragmented nature of DeFi products, you need to keep switching between platforms to access your assets. With the De.Fi Portfolio Tracker, however, you can access assets on multiple networks through one interface.

The De.Fi Portfolio Tracker allows you to create address bundles so you can group multiple wallet addresses into a single portfolio. This feature gives you a complete view of your investment portfolio, facilitating easier management of your assets, especially if you constantly transact across different platforms.

The Portfolio Tracker has also incorporated a Transaction Tracker, which monitors and records all transactions conducted through the platform across the various supported networks. Get a detailed history of your trades, staking history and contributions to liquidity pools.

De.Fi also features a Crypto Market Page, where you can find deep insights designed to help you analyze and track the DeFi market. Designed as an alternative to popular crypto tracking website CoinGecko, it allows you to stay updated with what’s happening in the crypto space.

The Crypto Market Page’s user-friendly interface accommodates the needs of both novice and advanced users. You can examine the performance of various cryptocurrencies, including most 

 tab, which provides you with security ratings of projects, including highlights about the potential security risks and protective measures of the highlighted asset.

 feature lets you discover yield opportunities across DeFi protocols integrated with the De.Fi platform. It’s designed to optimize your yields by providing you with a comprehensive platform to view and analyze potential returns.

The tool is rich with yield data of different protocols, which helps you make an informed decision when investing in 

. The data isn’t limited to EVM-compatible networks, and includes info on yield farming opportunities on networks such as 

. Explore Yields also includes a filter function that allows you to customize your search to include only your preferred protocol for a more streamlined experience.

De.Fi Shield is a solution designed to continually monitor smart contracts, tokens and NFTs that interact with your wallet. Many DeFi traders grant access to their wallets to numerous apps that manage funds on their behalf. De.Fi Shield promptly identifies potential vulnerabilities or risks within the smart contract code of these apps in order to forewarn you about possible hacks and security threats.

Contracts and NFTs deemed particularly risky by De.Fi Shield are categorized as "High Risk," warranting further attention on your part. You can then easily revoke permissions previously granted to such apps. Using the 

 functionality is certainly much more flexible and quicker than going through all the potentially vulnerable DeFi platforms you’ve interacted with, one by one, to turn off wallet permissions. Meanwhile, high-risk tokens can easily be exchanged for other tokens with a click of the 

The De.Fi smart contract scanner is a solution designed to analyze any smart contract across the blockchains that De.Fi interacts with. It provides traders, developers and app operators with comprehensive analytics and assessment of smart contract code.

The scanner identifies potential vulnerabilities, and assigns a score ranging from 0 –100 to indicate a given smart contract’s level of security. The entire scanning process takes just a few seconds, making the scanner a quick and efficient tool for assessing security risks in smart contract code.

The scanner is a powerful analytics tool for DeFi traders, providing the chance to identify lucrative opportunities while protecting against potential scams and vulnerabilities. Developers can also leverage it to validate their own code for security flaws, thereby ensuring a safer trading experience for users.

Additionally, the scanner can analyze some popular tokens in detail to learn more about a token's liquidity levels, ownership concentration and other vital data.

De.Fi's Audit Database contains information on smart contract audits conducted for numerous 

 (DApps) operating within the DeFi sphere. In the last couple of years, many DeFi platforms have adopted regular code audits to reassure traders and demonstrate transparency of operations. The Audit Database details these past audits, providing information on each project's key points — the audit date, any revision dates, the auditor company involved and more. In addition, it contains details of audits conducted by the De.Fi platform and by a number of other trusted audit providers, such as Quantstamp, PeckShield, Chainsulting, OpenZeppelin, Consensys, CertiK and more. 

TheRekt Database details all the occurrences of hacks, exit scams and other security events in the DeFi world recorded by the De.Fi platform. It’s one of the largest databases of DeFi security breaches or breach attempts available in the industry.

Unveiled in October 2023, De.Fi 2.0 represents a significant enhancement to the original platform. In addition to functional improvements to the base security tools, De.Fi 2.0 has introduced several new products and services:

The versatile generative AI assistant offers customizable forecasts and investment advice based on adjustable factors, such as the user's preferred risk levels, destination protocols' security status, historical vault performance and various other relevant metrics.

What Is De.Fi Chain and How Does It Work?

De.Fi Chain is a smart contract–enabled audit and verification platform. It’s designed to comprehensively analyze smart contracts that developers from various platforms submit for verification purposes. Through a decentralized network of Indexer nodes, De.Fi Chain thoroughly examines the submitted code, identifying errors and assessing their severity to provide comprehensive audit advice.

Following the audit process, the results are disseminated to participating blockchain networks, including Ethereum, Polygon, BNB Chain and other platforms integrated with the De.Fi protocol. This ensures that smart contracts across multiple blockchains undergo rigorous verification, enhancing the overall security and reliability within the De.Fi ecosystem.

The DEFI token is the De.Fi platform’s native cryptocurrency. It’s been deployed on two popular blockchains — Ethereum and BNB Chain. Key functions of the token include:

. Holding the DEFI token grants you access to the De.Fi platform’s products, such as the Audit and Rekt databases and the smart contract scanner.

Reward token holders with exclusive offers

. These include perks such as app discounts, exclusive access to chat with the De.Fi team and 

 staking opportunities at partner DeFi protocols.

. In order to query a smart contract code via the De.Fi Chain, you must pay in DEFI tokens. Also, you need to stake DEFI to become an indexer and create a verification node on the chain. Indexers are paid in DEFI for their verifications. Delegators can also stake DEFI to share a portion of the DEFI rewards with the indexers.

. DEFI holders are entitled to participate in votes concerning the protocol’s future direction, developments and changes to features.

 token, with a maximum and total supply of 1 billion. The token’s supply distribution shares are illustrated in the chart below.

 Spot trading pair. To celebrate this listing, Bybit is holding a Token Splash event with 

 up for grabs. For a chance to earn a share of the prize pool, you’ll first need to register with Bybit, then trade DEFI and accumulate a Spot trading volume of at least 500 USDT. The event runs through Jan 31, 2025, 11AM UTC.

DeFi protocols provide a great alternative to centralized financial institutions and the existing financial system. However, with more than $2.2 billion stolen from DeFi apps in 2024 alone, security concerns are becoming more prominent in the industry.

Few protocols in the past have adopted such a comprehensive approach to DeFi security as the De.Fi platform has done. Its suite of products will undoubtedly grow more relevant as the industry continues to develop, TVLs locked on DeFi protocols rise and the safety of user funds becomes increasingly essential.

The era of blindly trusting blockchains’ built-in cryptographic security setups is coming to an end as the trader community demands more sophisticated approaches to DeFi security. That’s why the De.Fi protocol looks to be a great candidate to assume leadership in this niche. The more hacks we hear about, the more attention this innovative platform will receive from traders, app operators and developers alike.

Intermediate

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De.Fi (DEFI): Safeguarding Your DeFi Investments

Bybit Learn

Investing

Bitcoin

With asset classes like crypto and stocks gaining popularity, there'll certainly be bitcoin stock market correlation. Read on to see how interlinked they are.

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 was first introduced, many people thought one of its benefits would be that it was unrelated to the stock market. Investors hoped Bitcoin would be a suitable hedge – a safe place to protect funds from the volatility of the stock market. However, as the cryptocurrency has grown in popularity, many have started to wonder whether Bitcoin has a correlation to the stock market. Is Bitcoin's price affected by the stock market — and is this a good thing? Explore our guide to learn more about the nature of Bitcoin's correlation to the stock market.

The History of Crypto Correlation to the Stock Market

For the first several years of its life, there was almost no correlation between Bitcoin and the S&P 500. Until 2012, Bitcoin prices were very stable, while S&P 500 prices had their usual steady rise with some dips. The very first significant Bitcoin jump, in late 2013 and early 2014, had no corresponding S&P 500 increase. In fact, the stock market dip in late 2016 happened at the same time as a Bitcoin price increase. Bitcoin prices tended to fluctuate rapidly, while S&P 500 price changes were less drastic. Peaks and valleys for Bitcoin and S&P 500 prices showed almost no similarities until 2018 or so.

However, a look at recent Bitcoin vs. stock market charts shows far more correlation. The crypto's value doesn't perfectly mirror the S&P 500 index. However, a comparison of Bitcoin and the S&P 500 does show that there are some relationships. We can tell this by examining how the crypto behaves during volatile S&P price swings.

Over the past four years, Bitcoin has somewhat begun to mimic S&P 500 movements. During the big dips of January 2018, September 2018 and March 2020, Bitcoin prices also dropped. Interestingly, Bitcoin vs. stock market charts show that Bitcoin's drops seem to be even more drastic. While the S&P usually only experiences dips of around 10%, Bitcoin has weathered crashes of over 50%.

In the last three years, there has also been an increased incidence of Bitcoin moving when stocks rise. Overall, the correlation in Bitcoin vs. stock market charts is most drastic when stock prices drop. However, Bitcoin does seem to follow general market trends for stock stability and stock surges. Bitcoin has recently begun to mimic the stock market even more closely. In March, Bitcoin and the S&P 500's 90-day correlation reached record levels. As of 2022, there’s been no sign of a Bitcoin stock market decoupling.

Bitcoin vs. Stock Market Charts: What We Can Observe

When you take a close look at Bitcoin and Nasdaq composite prices over the past four years, the Bitcoin correlation to the stock market is even more noticeable. Based on Bitcoin vs. stock market charts, here are some of the key examples of Bitcoin’s correlation to the stock market.

What’s Causing the Bitcoin Stock Market Correlation?

There's no single reason for Bitcoin’s correlation to the stock market. Instead, there are multiple factors contributing to the similarities, based on Bitcoin vs. stock market charts. Just like the stock market, Bitcoin is closely affected by supply, demand and investor sentiments. Prices for both tend to rise when there’s high demand, positive market outlooks and limited supply. Meanwhile, prices for both tend to drop when investors worry about the future, or encounter worrying economic policies. Therefore, it's no surprise that Bitcoin tends to wax and wane with the stock market.

That being said, there are also some factors that would seem to reduce the correlation. Bitcoin isn't under the same regulations and government policies as the stock market. For example, the 2021 Chinese government shutdown of Bitcoin mining affected Bitcoin prices, but not those of the stock market. There are also technological dissimilarities, because the stock market isn't affected by data storage issues and power shortages which affect Bitcoin miners.

So why are the recent charts still showing so much correlation? The answer appears to lie in the increased connectivity of crypto and stocks. Cryptocurrency is no longer seen as a separate asset, with little reliance on the stock market. Instead, the popularity of crypto has made it very similar to traditional stock holdings. Crypto is no longer a niche asset traded by a few enthusiasts. Instead, it’s now being handled by traditional brokerages and investment institutions.

The same investors tend to invest in both crypto and stocks. Oftentimes, an investment portfolio may include both options. Furthermore, spillover from Bitcoin returns often gets invested in the stock markets, and vice versa. As the Bitcoin correlation to the stock market continues to increase, investors are becoming aware of the similarities — and making even more decisions with the assumption that crypto and stock are identical. Ultimately, the close relationship between stock and crypto investing is causing both markets to mimic each other.

The Benefits and Dangers of High Stock Market Correlation

Curious about what the Bitcoin and S&P 500 correlation means for the typical investor? There are both pros and cons to the Bitcoin stock market correlation. If there's a strong Bitcoin correlation, crypto investing becomes a lot more predictable. When Bitcoin vs. stock market charts are similar, you can more easily notice market trends and make smart choices. Furthermore, since stock values always rise in the long run, a Bitcoin correlation to the stock market could mean more long-term gains for crypto investors.

Though there are some benefits, you don't necessarily need to fear a Bitcoin stock market decoupling, which could actually be good news for investors who want to diversify their portfolios. Having two separate sets of assets that don't drop at the same time is a great way to weather financial crashes. If the Bitcoin stock market decoupling does occur, people may have more opportunities to hedge against a crash.

Ultimately, whether or not a Bitcoin stock market decoupling is a “good thing” just depends on your personal investment strategies. For those who have been using stock market predictions to make Bitcoin trading strategies, a high Bitcoin correlation to the stock market is a positive. Meanwhile, investors who haven't properly diversified their portfolios might find that Bitcoin's correlation to the stock market makes them more vulnerable to market downswings.

When dealing with investments, it's important to avoid assuming that correlation = causation. Essentially, the fact that Bitcoin vs. stock market charts look so similar doesn't necessarily mean one market is drastically affecting the other. In some cases, Bitcoin's correlation to the stock market seems to be a coincidence. For example, the March 2019 dip in the stock market was due to increased aluminum tariffs, while the March 2019 dip in Bitcoin was due to international crackdowns on crypto.

However, there’s also a lot of evidence that Bitcoin might be directly influenced by the stock market. Experts have noticed that Bitcoin prices tend to drop when the stock market opens — irrespective of other factors affecting price. Furthermore, Bitcoin's price is heavily affected by general investor confidence, which is why recent Bitcoin crashes tend to come right after stock crashes. Crypto traders who start hearing news about a stock market downturn tend to begin trading conservatively.

Will Bitcoin Decouple From the Stock Market?

If your investment strategy has  focused on Bitcoin following the stock market, you need to be on the lookout for a Bitcoin stock market decoupling. Experts predict that such an event probably won't be happening anytime soon. As more and more people begin to conflate Bitcoin charts and stock market charts, the two assets are even more likely to affect each other. At least a mild correlation to the stock market seems likely to persist for the rest of the year.

That being said, some degree of Bitcoin stock market decoupling does seem inevitable. The main reason is that Bitcoin tends to be a little more volatile. In a sell-off, Bitcoin prices tend to plummet a little more drastically than traditional stocks and recover more sharply. With stock prospects for the latter half of 2022 looking grim, there may be indications that Bitcoin’s value will begin to fluctuate at different rates than those of stocks values.

As of now, it’s hard to tell if a Bitcoin stock market decoupling will be positive or negative for crypto investors. Some feel that Bitcoin might stabilize while stocks drop, and others believe crypto values may decrease even after the stock market recovers. Either way, signs that a Bitcoin stock market decoupling might be happening include:

Bitcoin vs. stock market charts show a strong correlation between the two investment opportunities. Since both markets are becoming increasingly interrelated, it's no surprise that they're similar at the moment. However, experts believe a Bitcoin stock market decoupling will eventually happen. Investors would be wise to exercise caution and to beware assumptions of a continued Bitcoin stock market correlation.

Bitcoin Stock Market Correlation: What Do the Charts Say?

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