Bitcoin Is Being Treated as a Portfolio Diversifier — Market Talk
Investors are increasingly turning to bitcoin as a way to diversify their portfolios, eToro analyst Lale Akoner says. The S&P 500 is skewed towards big tech stocks, particularly Nvidia, with few defensive stocks. Long-dated Treasurys used to be in demand as a diversifier but have recently come under pressure. That means investors are looking for others assets to protect against potential losses in their portfolios, she says. "I think that's the reason why we're seeing more exposure to gold, more exposure to bitcoin." Bitcoin remains a high risk asset but it serves well as a diversifier, she says. Bitcoin trades falls 0.1% to $114,810, LSEG data show. ([email protected])