Bitcoin’s (CRYPTO: BTC) macro behaviour is increasingly tied to global liquidity and energy markets, which increases its correlation with the Nasdaq, according to VanEck’s Matthew Sigel.
Bitcoin’s Correlation With Nasdaq Rising
Speaking on Squawk Box on CNBC on March 11, Sigel said oil shocks and geopolitical tensions, including risks around the Strait of Hormuz, can tighten liquidity and put pressure on risk assets such as Bitcoin.
As a result, Bitcoin’s correlation with the Nasdaq Composite has climbed to a five-year high.
Sigel also noted that investors in the Middle East are increasingly turning to Bitcoin during geopolitical stress because it is easier to move across borders than physical assets such as Gold.
Recent data showing increased crypto transfers from Iran highlights this trend, he added.
Sigel said Bitcoin is currently trading within a $59,000–$72,000 range, which he described as typical for the asset’s four-year market cycle. He also noted that long-term holders were heavy sellers last year, but selling pressure has recently eased, helping stabilize prices.
He added that the approval of spot Bitcoin ETFs has improved regulatory clarity and made it easier for investors to gain exposure without directly holding the asset.
Energy Markets Becoming Key To Bitcoin
Sigel emphasized the growing intersection between energy markets and Bitcoin adoption.
He pointed to Kazakhstan, where the central bank has signalled plans to add Bitcoin and other digital assets to national reserves.
Countries with abundant electricity, particularly nuclear or surplus energy, may increasingly adopt Bitcoin mining as a strategic economic activity, highlighting the link between energy infrastructure and digital assets.
Sigel also discussed VanEck’s evolving crypto investment strategy, noting that the firm is rotating away from many altcoins and focusing on areas where crypto connects to real-world cash flows.
VanEck is particularly bullish on profitable Bitcoin mining companies that are expanding infrastructure to support the fast-growing artificial intelligence compute market.
According to Sigel, miners have a strategic advantage because they control power and infrastructure, allowing them to pivot toward AI data centres while continuing to mine Bitcoin, even though their valuations remain far below comparable data centre companies.
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