Bitfinex: BTC may serve more as a risk asset rather than a store of value

ChainCatcher news, Bitfinex released a report indicating that the price of Bitcoin has stagnated in the range of $91,000 to $102,000, entering a consolidation phase that has lasted for over 75 days. However, this prolonged range-bound movement reflects the increasing maturity of Bitcoin as an asset, with its annualized real volatility having dropped to historical lows.

Nevertheless, Bitcoin remains sensitive to macroeconomic developments, particularly when Trump announced tariffs against Mexico and Canada, leading to a significant price drop. Recent trends suggest that BTC is increasingly being viewed as a risk asset rather than merely a store of value. Its correlation with the S&P 500 remains strong, while its correlation with gold has weakened.

Bitfinex expects the range-bound movement of Bitcoin to continue in the near term, potentially facing downward pressure if macroeconomic conditions worsen. However, despite gold's continued rise and changing institutional sentiment towards Bitcoin, the narrative of Bitcoin as a store of value remains intact in the long run.