Ray Dalio Warns Bitcoin's Correlation With Tech Stocks Hurts Its Safe Haven Appeal

"Bridgewater Associates founder and billionaire Ray Dalio noted that bitcoin has struggled to fulfil its promise as a safe haven role. The billionaire argued the asset is still too small and controllable to compete with the real thing. Though bitcoin dominates the conversation, Dalio maintains it cannot match the ubiquity or systemic importance of the precious metal."

"Dalio's remarks, made during a recent podcast, were in response to the host questioning why bitcoin has not moved in tandem with gold, which is up nearly 9% so far this year. In late January, the precious metal traded above $5,500 per ounce, briefly pushing its year-to-date gains to over 25%. After reaching that peak, gold gradually declined, erasing most of its gains by late March."

"Market data shows that after surging more than 10% in the first two weeks of the year, the leading cryptocurrency tumbled through the remainder of January and into early February, dipping below $60,000. Bitcoin ended the first quarter of 2026 down more than 20%. While it has slowly recovered some losses, it remains down 7% for the year."

"In a May 11 post on X, Dalio also pointed to bitcoin's correlation with equities, particularly tech stocks. While this correlation was less apparent during the early days of the Middle East conflict, bitcoin appeared to move in lockstep with tech stocks by the end of March. Dalio argued that this relationship makes the asset less appealing as a haven."

Bitcoin has struggled to fulfill a safe-haven role, with 2026 performance marked by a sharp first-quarter decline. Gold rose early in the year, briefly trading above $5,500 per ounce, then fell and later rallied again, reclaiming about $4,700 per ounce by May 13. Bitcoin surged more than 10% in the first two weeks of 2026, then dropped below $60,000 in late January and early February, ending the first quarter down more than 20% and still down about 7% for the year. Bitcoin’s correlation with equities, especially tech stocks, has been cited as evidence it behaves more like risk assets than digital gold.

Read at news.bitcoin.com