Stocks hold firm as crypto sells off—Why the two markets have suddenly diverged
The post Stocks hold firm as crypto sells off—Why the two markets have suddenly diverged appeared on BitcoinEthereumNews.com.
Key Takeaways How did stocks perform compared to crypto this week? The S&P 500 and Nasdaq maintained their uptrend with controlled pullbacks, while the crypto market crashed to $3.01 trillion. What explains the divergence? Crypto reacts faster to tightening liquidity conditions, while stocks benefit from strong earnings and continued institutional flows into large-cap tech. The S&P 500 and Nasdaq Composite maintained their uptrend this week, even as the crypto market extended its sharp decline, creating one of the clearest divergences between traditional equities and digital assets in months. Both the S&P 500 and Nasdaq charts show controlled pullbacks inside broader bullish structures. By contrast, the total crypto market cap has broken down aggressively, falling to $3.01 trillion after a steep multi-week sell-off. Stocks remain in uptrend despite volatility The S&P 500 remains above key support levels despite last week’s sell-off. The index pulled back from its early-November highs but has not broken its broader ascending structure. Source: TradingView Buyers stepped in near the 6,600 zone, signaling that institutional appetite remains intact. The index currently trades at 6,627.66, up 0.16% on the day. The Nasdaq Composite shows a similar pattern. The index corrected from its recent highs but maintains a higher-lows formation at 22,476.83, up 0.20%. Source: TradingView Tech stocks have absorbed volatility better than expected, which suggests investors still favor large-cap growth as macro conditions stabilize. Both charts point to a market that corrects rather than reverses. Risk appetite in equities remains stronger than recent headlines suggest. Crypto market loses $700B+ as trend shifts bearish The total crypto market cap chart paints a very different picture. The market has broken below several support levels and continues to register lower lows. At $3.01 trillion, the space now sits firmly in a corrective trend. Crypto has declined steadily since early November, with…
Filed under: News - @ November 20, 2025 1:27 am