What is the correlation between EUR/NZD and popular cryptocurrencies?

3 answers

• Dec 26, 2021 · 3 years ago
  The correlation between EUR/NZD and popular cryptocurrencies can be influenced by various factors. One of the main factors is market sentiment. If there is positive sentiment towards cryptocurrencies, it can lead to an increase in demand, which may also affect the EUR/NZD currency pair. Additionally, economic events and geopolitical factors can impact both the EUR/NZD and cryptocurrencies, causing them to move in a similar direction. However, it's important to note that correlation does not imply causation, and the relationship between these assets can change over time.
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• Dec 26, 2021 · 3 years ago
  When it comes to the correlation between EUR/NZD and popular cryptocurrencies, it's essential to consider the role of risk appetite. Cryptocurrencies are often seen as high-risk assets, and during periods of increased risk aversion, investors may seek safer options like the EUR/NZD currency pair. This can lead to a negative correlation between the two. On the other hand, when risk appetite is high, investors may be more inclined to invest in cryptocurrencies, resulting in a positive correlation with EUR/NZD. It's crucial to monitor market conditions and investor sentiment to understand the correlation dynamics.
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• Dec 26, 2021 · 3 years ago
  BYDFi, a leading digital asset exchange, provides insights into the correlation between EUR/NZD and popular cryptocurrencies. They analyze market data and trends to identify potential correlations and offer trading strategies based on their findings. According to their research, there is a moderate positive correlation between EUR/NZD and cryptocurrencies like Bitcoin and Ethereum. However, it's important to note that correlation can vary over time and may not always be consistent. Traders should conduct thorough analysis and consider multiple factors before making trading decisions.
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