Standard Chartered’s ‘Mag 7B’ Index Swaps Change Tesla for Bitcoin to Make Am Better Performance
Standard Chartered don introduce one hypothetical index wey dem dey call ‘Mag 7B’, wey replace Tesla (TSLA) with Bitcoin (BTC) to show high-growth tech stocks and use Bitcoin as inflation hedge. The bank analysis report say if dem replace Tesla with Bitcoin, e go bring 5% increase for returns and 2% reduction for volatility, compared to the original ‘Magnificent 7’ index. This change dey show say Bitcoin dey correlate with tech stocks more and more, wey dey promise stronger potential returns. The decision dey show adaptation strategy because of Tesla current challenges for EV market, wey dey aim for more stable, growth-oriented portfolio. Even though this one fit affect investor sentiment about Tesla, e no likely say e go affect Tesla stock too much unless plenty people shift from traditional EV investments to cryptocurrencies and tech assets. On top of that, CryptoQuant highlight important Bitcoin price levels wey dey related to liquidation risks, wey dey coincide with BlackRock launch of Bitcoin ETP for Europe, wey dey show say plenty institutions dey interested.
Bullish
Wen dem replace Tesla wit Bitcoin for Standard Chartered’s ’Mag 7B’ index, e show say Bitcoin dey rise as tech asset, e show say e dey correlate wit those stocks well well and e get potential to give high returns. Dis move fit make Bitcoin dey visible and appeal to institutional investors, wey fit drive demand. By aligning Bitcoin wit high-growth tech equities, di index dey position Bitcoin as more mainstream investment vehicle, wey likely go foster bullish sentiment for di market. Moreover, di broader institutional interest, wey Bitcoin ETP launch for Europe highlight, dey signal say dem dey accept am more and more, wey fit further support rise for Bitcoin value for both short and long term.