BIT: Macro factors, not AI stock boom, driving BTC correction

The recent correction in Bitcoin is due to macroeconomic factors, not a rotation of capital into AI-related stocks, BIT (formerly Matrixport) argued in a new report. The firm suggested that the temporary decoupling between Bitcoin and the U.S. Software ETF (IGV) could be attributed to short covering, noting that the IGV has since experienced another significant decline. While the two assets have different business structures, they are both sensitive to the same macroeconomic variables, including the liquidity environment, interest rate outlook, and investor sentiment, the report explained. BIT added that both markets have shown weakness since last October, as the Fed has maintained a more hawkish stance.