Traditionally $BTC as a risk on asset has had a direct correlation with stocks.

The ETF approvals brings easier access to crypto assets for traditional markets, and we should start considering a change in relationship between $BTC and $ETH with stocks.

Not in terms of price movement, but accessibility and capital flows.

Stocks rallying so hard recently MIGHT very well have stolen liquidity from crypto.

If this is the case, then I would argue that we could see capital flowing in a slightly different way as before.

Previously: $BTC -> Large cap altcoins -> Micro caps.

Now: Stocks -> $BTC -> Large cap altcoins -> Micro caps.

Stocks are already correcting, but I don’t think it’s the end of “risk on” environment yet.

Bullish catalyst like a Trump presidency and rate cuts are still in the horizon.

This recent stock market correction could very well fuel our next leg up as capital from retail traders flow from stocks and into $BTC .

Follow me @TierZeroAltcoin for more content like this both on here and X.

#Bitcoin

Utility season is COMING and I hope everyone’s bags are PACKED 💎

$BUBSY - AMAZING R/R, working product and team keeps delivering. This will run HARD during AI season.

$INFRA - Whole suite of AI products. Team is extremely transparent, KYC’d, weekly AMAs.

$OPSEC v2 - Lots of FUD but the team handled it very professionally and is very transparent. 0/0 taxes on relaunch, at higher MC pre-hack. Relaunch dip will be an AMAZING entry for this DePIN giant in the making.

The AI narrative is STILL the go-to next on-chain season.