Bank of America (BofA), one of the largest banks in the US, said that bitcoin (BTC) is traded more as a risk asset than as a store of value or an asset used to hedge inflation.
Bank of America, February 8 in a research note dated Maximum supply of 21 million him-her-it hedge against inflation or store of value that he could make a perfect being as of bitcoin (BTC)increasing since July. presence of risk Said it was traded.
Analysts led by Alkesh Shah note, bitcoin with S&P 500 stock index and bitcoin with Nasdaq 100 index between correlations January 31st the all-time high in the history of 99.73%He stated that he had reached Bank, bitcoin with gold between correlation if last year June since almost close to zero He said he was watching.
on the note, 2013 highest levels in in bitcoin’s volatility although there has been a decrease since then, but currently volatility still S&P 500, Nasdaq 100 and below were found to be at higher levels.
The note also noted that bitcoin’s volatile price movements are unlikely to be adopted by investors in developed countries as an inflation hedge, but inflationist It was stated that individuals living in environments may see bitcoin as an inflation protection.
BofA, like bitcoin deflationary He expects cryptocurrencies to be traded in the risk asset class until the volatility of digital assets subsides.