Altcoins' Correlation with Bitcoin Hits the Lowest Level Since January 2024
The Correlation Heatmap on a 1-hour timeframe reveals that the lowest correlation level between altcoins and Bitcoin occurred just above $99k. In other words, as Bitcoin approached the coveted $100k mark, altcoin prices were surging, signaling a period of elevated risk.
On the 5-minute timeframe, we can clearly observe that when the correlation becomes significantly negative, Bitcoin tends to shift its short-term trend.
This metric highlights that altcoins rarely deviate from Bitcoin's price movements for long. A low correlation is often a strong indication that a medium- or short-term trend shift is underway.
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