Stocks soar while Bitcoin stays stuck

A surprising gap has opened in the market with the S&P 500 charging back to fresh records while Bitcoin sits stuck far below its peak. The stock index climbed 0. 8% in the latest week, closing at 7, 023—its highest ever—after fighting back from a steep March drop of nearly 10%. Back then, tensions between the U. S. , Israel, and Iran plus a spike in oil prices sent markets reeling. Yet unlike past recoveries when stocks and Bitcoin rose together, the digital currency is barely moving this time. Behind the stock rally is a rare burst of buying power. Over just two weeks since late March, Wall Street added $6 trillion in value—something that’s only happened 20 times since 1950. Most of those jumps happened during deep downturns, not when markets were already at record levels. Tech giants like those in the “Magnificent 7” led the charge, up nearly 18% since March while the rest of the market lagged behind. Strong economic signals, like softer-than-expected inflation data, have also helped lift spirits.Bitcoin, though, remains out of sync. It’s trading around $75, 000—still 40% below its record high—making this the longest stretch in four years without a strong tie to stock market moves. On-chain data shows little fresh money flowing in. Since January, more capital has left Bitcoin networks than arrived in 98 of the first 105 days, with outflows peaking in late February. Until buyers return in force, any jump above $76, 000 could trigger a brief squeeze, but that’s far from guaranteed. Big investors keep testing Bitcoin’s support levels. Spot ETFs pulled in $411 million in a single day in April, the second-highest daily inflow of the month. Options traders have also dialed down their fear of losses. Still, Glassnode analysts describe the recovery as shaky—more about quick trades than deep confidence. Bitcoin’s next move may hinge on whether it can hold $70, 000 and finally push past short-lived highs.