A well-known analyst believes that Bitcoins (BTC)’s refusal to connect to traditional markets will be his “biggest story” if it continues.

In a series of tweets on October 21, Cole Garner emphasized that the bitcoin market is disconnected from bullish price factors.

Yarns: The fork will be the biggest cryptocurrency story
Garner retweeted the Bitcoin, Gold, S&P 500 and Ether (ETH) schemes, showing that Bitcoin fails on its own, yielding positive gains while other assets decline.

Chart by Eric Wall, Chief Information Officer of crypto hedge fund Arcane Assets, describes this trend as “extraordinary”.

“Bitcoin’s relationship with traditional markets appears to be declining.” Garner commented, if this continues in the coming weeks, it will be the biggest story in cryptography.

Bitcoin (orange) for gold, S&P 500 and Ethereum. Source: Eric Wall / Twitter

Bitcoin has previously shown a long-term connection, especially with the S&P 500, and it also formed a close relationship with gold in the months following the price accident caused by Coronavirus in March.

Others have previously noticed the downward trend, including statistician Willie Wu, who in September predicted it would continue.

Net sky over $ 12,000 resistance
Garner’s sentiment is also supported by a “strikingly neutral” financing rate through permanent currency swaps.

Despite recent developments in Bitcoin, which crossed $ 12,000, the level of funding indicates that long positions are supported by short positions – an encouraging sign of further growth.

In addition to this, the institutional investor sentiment which, according to the Commitment Traders (COT) report at the end of last week, is very long, not short.

As the Cointelegraph reported, the BTC / USD pair suddenly jumped $ 12,000 overnight on Tuesday, taking the time to break through the large $ 11,900 resistance.

As Garner and others note, there are very few obstacles to further positive price movement above $ 12,000 due to how Bitcoin has spent short periods above this level in the past.

In short, “the sky in stock magazines is largely net, more than $ 12,000.”

There are still other factors from the previous weeks and months, especially the lack of influx of whales, which indicates that the appetite to sell large quantities of BTC is still low. The data show that currency balances are in fact still declining despite rising prices.

Bitcoin exchange balances against the price, and recently highlights the decline. Source: Cole Garner / Glasnode

In conclusion, Garner was only concerned that if Twitter’s sentiment was a reliable indicator, few Hodlers expected the current scenario.

“Not many people were ready for this,” he wrote, referring to a recent poll of 35% of respondents that Bitcoin makes up less than 10% of the cryptocurrency wallet.

“I’m not a fanatic, I have a great love for cryptocurrencies everywhere, but you have to respect the king.”

Source: CoinTelegraph