Bitcoin Inches Closer to a Historic Breakthrough Compared to the Nasdaq

Bitcoin Surges Ahead of Nasdaq, Signaling a Shift in Market Leadership

Bitcoin (BTC) is nearing a historic breakout against the Nasdaq 100 Composite, with the current BTC/Nasdaq ratio standing at 4.96. This means that Bitcoin’s value now exceeds the combined worth of nearly five Nasdaq units. The previous high of 5.08 was reached in January 2025, when Bitcoin briefly surpassed $109,000.

This ongoing trend highlights Bitcoin’s consistent outperformance relative to the Nasdaq over multiple market cycles, notably in 2017, 2021, and now 2025. Bitcoin’s continued strength relative to traditional tech benchmarks suggests the potential for a broader shift in market leadership.

Bitcoin’s divergence from U.S. tech stocks has become more pronounced across multiple timeframes. Year-to-date, Bitcoin has declined by only 6%, while the Nasdaq has experienced a more substantial 15% drop. Since the November 2024 U.S. election, Bitcoin has gained 30%, contrasting with a 12% decline in the Nasdaq over the same period.

Compared to the “Magnificent Seven” — the top seven mega-cap tech stocks — Bitcoin is still about 20% below its February 2025 all-time high. However, this still underscores Bitcoin’s resilience, particularly as tech giants outperform the broader Nasdaq Composite.

A key indicator of Bitcoin’s relative strength is MicroStrategy (MSTR), a prominent proxy for Bitcoin exposure. Since being added to the QQQ ETF on December 23, MSTR has fallen just 11%, whereas the ETF has seen a 16% decline. The divergence has become even more apparent in 2025, with MSTR up 6% year-to-date while the QQQ ETF is down 15%.