Bitcoin (BTC) has long been dubbed “digital gold,” heralded as an alternative to traditional financial assets. Yet, as of March 2025, dark clouds loom over the market. The Nasdaq, a tech-heavy index, has recently broken its upward trajectory and slipped into a downturn, raising questions about its ripple effects on Bitcoin. Even as “digital gold,” can Bitcoin truly remain immune to macroeconomic shifts and stock market trends? In this post, we’ll explore how Nasdaq’s volatility might impact Bitcoin.
Nasdaq’s Upward Break Fails: What Happened?
In mid-March 2025, the Nasdaq veered off its prolonged upward trend and entered a decline. Fueled by the AI boom and low interest rates in recent years, the tech-driven index had been soaring.
But fears of rate hikes and macroeconomic uncertainty pushed it below its 200-day moving average (MA)—a signal many see as more than just a correction. Key players like Tesla (TSLA) and Nvidia (NVDA) dropped over 10%, shaking investor confidence.
This shift hints at waning appetite for risk-on assets. As investors pivot to safe havens, not just stocks but high-risk assets like Bitcoin could feel the heat.
Bitcoin and Nasdaq: An Inseparable Bond
Though often compared to gold, Bitcoin’s price action has historically aligned more closely with the Nasdaq.
Data from 2021-2022 shows a correlation coefficient of 0.7–0.8 with the Nasdaq, far stronger than with the S&P 500 (0.6) or gold (-0.1). When the Nasdaq plunged 33% in 2022, Bitcoin cratered over 65%, underscoring their tight linkage.
As of March 2025, Bitcoin hovers around $83,000. But with Nasdaq turning south, holding this level could prove tough. X chatter among investors suggests, “Bitcoin needs more time to stand alone like gold—it’s still tethered to tech stocks.”
Limits of Digital Gold: Macro Shadows
Bitcoin’s “gold” moniker stems from its capped 21-million-coin supply and perceived inflation-hedging power. Yet, unlike gold, which thrives as a safe haven in crises, Bitcoin behaves like a risk asset, often sold off during turmoil. A faltering Nasdaq could drive investors to cash or bonds, triggering Bitcoin outflows.
Despite tailwinds from the 2024 halving and ETF inflows, macroeconomic headwinds—like potential Fed rate hikes—could overshadow these positives, hitting both Nasdaq and Bitcoin with a liquidity squeeze.
$87,000 Dream: Still Within Reach?
Bitcoin bulls recently eyed $87,000 as a gateway to a renewed bull run, with technicals showing $80,000 as a solid support. But Nasdaq’s stumble throws a wrench in that plan. If the index drops another 5–10%, Bitcoin could slide to $75,000 in the short term. A swift Nasdaq rebound or a Bitcoin decoupling could shift the narrative, but evidence for the latter remains thin. For Bitcoin to truly shine as “digital gold,” it must weather these macro storms.
Conclusion: Bitcoin’s Fate?
Bitcoin may bask in its “digital gold” title, but it’s not yet free from Nasdaq’s orbit. With the index diverging from its rally, Bitcoin’s path looks rocky.
The $87,000 dream might need to wait. For investors, the key now is reading the market with a cool head. Nasdaq’s next move could cast a long shadow—or a fleeting one—over Bitcoin’s future.
