The correlation between the crypto market and the Nasdaq has recently taken a positive turn ahead of the United States Consumer Price Index (CPI) release. The CPI is a measure of the average change in prices of goods and services over a period of time, and is used to gauge the health of the economy.
The correlation between the crypto market and the Nasdaq has been on a downward trend since the beginning of the year. This trend was largely attributed to the overall bearish sentiment in the crypto market, which was driven by a number of factors including the ongoing US-China trade war, regulatory uncertainty, and a general lack of investor confidence.
However, the correlation between the two markets appears to have reversed its course in the past week, with the Nasdaq gaining ground and the crypto market following suit. This positive correlation is largely attributed to the upcoming CPI release, which is expected to show an increase in consumer spending.
The positive correlation between the two markets is also being driven by a general increase in investor confidence in the crypto market. This is largely due to the recent surge in institutional investment in the space, as well as the increasing number of companies that are now offering crypto-related services.
The positive correlation between the crypto market and the Nasdaq is a good sign for the overall health of the crypto market. It indicates that investors are starting to view the crypto market as a legitimate asset class, and that the overall sentiment towards the asset class is improving.
It remains to be seen if the positive correlation between the crypto market and the Nasdaq will continue in the long-term. However, the current trend is a positive sign for the future of the crypto market, and suggests that investors may become increasingly comfortable investing in the asset class.