Brazil's trading volume reaches $6 billion in 4 months
According to Kaiko Research, the correlation between Bitcoin (BTC) and stocks is increasing. After reaching a multi-year low of 0.01 in March, the 90-day correlation rose to 0.17 last week. Based on the company's research report on May 13th, the 90-day correlation between Bitcoin and stocks rose to 0.17 in the week of May 5th, higher than the multi-year low of 0.01 in March. The correlation between BTC and risk assets is lower than the high of 0.6 during the bull market.
The research report also highlights the high trading volume of the cryptocurrency market in Brazil. Trading volume in Brazil has increased significantly and surpassed the US. From January 2024 to early May, the trading volume of the Brazilian real (BRL) reached 6 billion US dollars, making it the largest cryptocurrency market in Latin America and the seventh largest fiat currency market in the world.
Kaiko also reported other data. The company pointed out that since March, there has been a divergence in the prices of ETH put options and call options. Kaiko said that with the US SEC's decision on May 23rd to approve or reject a spot Ethereum ETF, this trend "may be a sign of impending volatility".
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