BTC and Stocks Move in Sync as Q4 Earnings Signal Late Bull Market Stage

Market Correlation: Bitcoin shows a moderate correlation of 0.26 with the S&P 500, indicating it behaves like a semi-risk asset that aligns with equity momentum while maintaining some independence.

Earnings Performance: Q4 earnings have exceeded expectations by an average of 571 basis points, with forecasts for earnings growth rising from 7% to 8%, although investor sentiment has turned cautious amid tightening liquidity.

Investor Sentiment: The Fear & Greed Index has dropped to 24, reflecting extreme fear among investors, despite strong earnings momentum, signaling potential sensitivity to market shocks.

Crypto Growth in APAC: The Asia-Pacific region leads crypto growth with a 69% increase in on-chain activity, driven by significant participation from countries like India, Vietnam, and Pakistan, highlighting its growing influence in the digital asset economy.