According to analyst Charlie Morris, Bitcoin, the leading cryptocurrency, has reached a new record high relative to the tech-heavy Nasdaq index.
The ratio of Bitcoin to Nadsaq futures (the "BitDAQ ratio") is now at its new peak, surging above 5. Morris believes that the aforementioned threshold is psychologically significant.
This essentially means that one Bitcoin is worth five times the value of a single Nasdaq futures contract.
Bitcoin, which tends to be correlated with traditional tech, has significantly outperformed this sector by acting as a safe haven asset. This is despite the fact that the leading cryptocurrency historically has a rather high correlation with tech stocks.
As reported by U.Today, the cryptocurrency has reached $103,000, hitting its highest level in four months.
The Nasdaq-100 index is down 4.3% on a year-to-date basis, recovering from the tariff-induced crash that occurred in early April.
This week, major U.S. stock indices rallied due to renewed trade optimism stemming from rumors about potential negotiations between the U.S. and China. The US also announced its very first major deal with the UK, further boosting risk assets.
Bitcoin managed to return to six-digit territory earlier this week for the first time since February. The rally has coincided with the massive inflow streak logged by BlackRock's record-shattering Bitcoin ETF.
The cryptocurrency is now on the cusp of reaching a new record peak.
"If at any point in the last 15 years, you were debating whether to buy and hold Bitcoin or the Nasdaq, you would have been better off in Bitcoin," Matt Weller, global head of market research at StoneX, said on X.
Vladislav Sopov