Will Soaring Meme Stocks Impact Bitcoin?

However, the crypto world besides bitcoin includes meme coins. Dogecoin and Shiba Inu coin each rose 3 percent in the past two days, according to Coin Metrics.

Bitcoin is widely considered to be in a class of its own in the crypto world driven by macro factors when there are no specific catalysts to consider such as exchange-traded funds (ETFs) and the bitcoin halving that occurs every four years.

Economist and author of the Crypto is Macro Now newsletter, Noelle Acheson, said that meme stocks rallied as money circulated. On the other hand, macro problems are still putting pressure on bitcoin.

“Inflation data can raise spirits if it is better than expected, but uncertainty is high,” he said.

Bitcoin ETFs

In 2024, the United States permitted the introduction of the first bitcoin ETF driven largely by the world's largest investment manager, BlackRock. The ETF is expected to attract new types of investors, stable cash flows while reducing volatility.

In addition, the regional banking crisis in 2023 in the United States that started the current bitcoin cycle has turned many towards the potential of crypto as an alternative financial system and hedge against uncertainty.

“Bitcoin is no longer seen as a pure speculation asset,” Acheson said.