Ray Dalio Warns Bitcoin’s Correlation With Tech Stocks Hurts Its Safe Haven Appeal

Dalio: Bitcoin Too Small to Rival Gold

In a jab apt to rankle the crypto community, Bridgewater Associates laminitis and billionaire Ray Dalio noted that bitcoin has struggled to fulfil its committedness arsenic a harmless haven role. The billionaire argued the plus is inactive excessively “small and controllable” to vie with the existent thing. Though bitcoin dominates the conversation, Dalio maintains it cannot lucifer the ubiquity oregon systemic importance of the precious metal.

Dalio’s remarks, made during a caller podcast, were successful effect to the big questioning wherefore bitcoin has not moved successful tandem with gold, which is up astir 9% truthful acold this year. In precocious January, the precious metallic traded supra $5,500 per ounce, concisely pushing its year-to-date gains to implicit 25%.

After reaching that peak, gold gradually declined, erasing astir of its gains by precocious March. However, it began rallying again successful April, and by May 13, it had reclaimed the $4,700-per-ounce mark.

In contrast, bitcoin has had a forgettable 2026 contempt a affirmative start. Market information shows that aft surging much than 10% successful the archetypal 2 weeks of the year, the starring cryptocurrency tumbled done the remainder of January and into aboriginal February, dipping beneath $60,000. Bitcoin ended the archetypal 4th of 2026 down much than 20%. While it has dilatory recovered immoderate losses, it remains down 7% for the year.

In a May 11 post connected X, Dalio besides pointed to bitcoin’s correlation with equities, peculiarly tech stocks. While this correlation was little evident during the aboriginal days of the Middle East conflict, bitcoin appeared to determination successful lockstep with tech stocks by the extremity of March. Dalio argued that this narration makes the plus little appealing arsenic a haven.

“It besides has a precocious correlation with tech stocks. When investors get squeezed successful different areas of their portfolio, they merchantability their bitcoin to screen it,” helium said.

Dalio further argued that bitcoin’s lack of privacy undermines its harmless haven credentials. From his perspective, bitcoin transactions tin beryllium monitored and controlled, which helium believes makes cardinal banks unwilling to clasp the asset.

Predictably, Dalio’s station triggered a backlash from bitcoin proponents, immoderate of whom accused him of ignorance. Michael Saylor, president of Strategy, replied to the billionaire, insisting that bitcoin’s transparency really makes it suitable arsenic planetary collateral.

“Since we adopted the Bitcoin Standard connected Aug. 10, 2020, bitcoin has outperformed gold with a higher Sharpe ratio,” Saylor added.

Samson Mow besides pushed backmost connected Dalio’s privateness concerns, suggesting the billionaire needs to amended himself. Other societal media users echoed this sentiment, with immoderate dismissing Dalio arsenic an “overhyped boomer” who has not work the Bitcoin Standard.