- Bitcoin gained 1.8% while NAS100 fell by 9.77% this week.
- The divergence between Bitcoin and NAS100 is rare, happening only six times in history.
- Bitcoin’s Z-score remains steady as NAS100 experiences sharp drops in early 2025.
Bitcoin (BTC) has proved one of the staunchest asset classes during recent market developments. Bitcoin went up by almost 1.8% in the past week while in stark contrast, NASDAQ 100 (NAS100) lost almost 9.77% of its value. Such pronounced divergence attracted the attention of market watchers, especially given the pronounced correlations between Bitcoin and NASDAQ 100 that had existed over the past several years. A Z-score appraisal of Bitcoin versus NAS100 deviational behavior in a year aptly summarizes the backdrop for this seeming anomaly.
$BTC – up 1.8% this week$NDX – down -9.77% this week
Considering the high correlation of these over the last few years, this is surprising
The floor fell out on stocks this week, but not on $BTC
Have we seen this before? ⬇️ pic.twitter.com/n6VpQxj3gC
— Dom (@traderview2) April 5, 2025
Typically, Bitcoin and major stock indices like the NASDAQ 100 tend to follow similar trends, reflecting broader market movements. However, the chart shared by analysts reveals a clear break from this norm. It shows a notable decline in NAS100, while Bitcoin continues to show upward momentum, even as traditional stocks face significant losses. The situation has sparked a critical question: Have we witnessed this type of divergence in the past? A Closer Look at Z-Score Overview.
Implications for the Broader Market
The Z-score comparative dynamics chart tracking the performance of Bitcoin versus NASDAQ 100 shows an insightful way to assess the behavior of these two assets over the last one year. The Z-score is a statistical measure that shows how remote a data point is from the mean, thus giving analysts an idea about the performance of and volatility between the two assets.
The graphics portray finer details. The blue line adopts a rather jagged path to represent Bitcoin’s Z-score, reflecting the violent moves that are characteristic of the currency. However, these movements appear tamer as compared to those of the red line of the NAS100, which shows sharper slumps and recoveries. Notably, Bitcoin’s Z-score seems to keep on hovering, showing a gradual descent as opposed to steep market plunges by NAS100. This can be pointed out in the early market events of 2025, where Bitcoin did not see any notable decline against the major NAS100 slumps.
This divergence between Bitcoin and NAS100 carries significance. While the NASDAQ-100 tends to respond to conventional stock market pressures, Bitcoin moves of its own accord, typically in concert with factors affecting investor sentiment in the cryptocurrency market. Bitcoin’s resistance against a crash while the rest of the market faced heavy selling challenges the conventional assumptions about the interplay between these two assets.
Historical Considerations for BTC-NAS100 Divergences
The divergence voiced between Bitcoin and NAS100 is certainly not an everyday affair, but so are the rarities. As market analysts assert, this particular fraction of difference has occurred, stretching from their very first encounter, not more than six times. Historical contextualization weighs in further for the current market status, indicating that what is happening now is extraordinary. Such relievers of divergences might lead to behavioral and/or market trends.
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