Bitcoin stays flat at $64,000 as S&P 500 adds $2 trillion

The S&P 500 added roughly $2 trillion in market value this month — nearly the entire crypto market cap — while Bitcoin has barely moved.

Bitcoin held near $64,046 as of 14:30 UTC on Aug. 5, up 0.50%, as the S&P 500 added $2 trillion — nearly the entire crypto market's value.

The divergence comes as the S&P 500 hit an all-time high of 7,775 points on Aug. 4, with the Dow closing at a record 53,055.91. Amazon crossed the $3 trillion market cap threshold for the first time, while Nvidia held above $4.98 trillion. Bitcoin, meanwhile, has been range-bound, with the Fear and Greed Index at 27 (Fear) and the Altcoin Season Index at 43/100, according to CoinMarketCap data.

The equity rally has been driven by easing geopolitical tensions — US-Iran peace talks have pushed oil prices down 5.2% to $80.25 per barrel for WTI — and strong earnings from mega-cap tech. Amazon jumped 15% on Friday after posting cloud revenue of $42.2 billion, up 37% year-over-year. Microsoft and Alphabet each rose roughly 5% on Monday. Bitcoin ETF inflows have reached $381 million this week, on track for the best week since May, according to SoSoValue data. Total crypto open interest stands at $114 billion, up 1.37%, with BTC OI at $48 billion, per Coinglass.

The divergence suggests risk appetite is rotating toward traditional equities rather than crypto, even as Bitcoin ETFs see inflows. Polymarket data shows only a 13% chance the CLARITY Act passes in 2026, adding regulatory uncertainty. Bitcoin faces resistance at $64,545, with a move above that level potentially targeting the July 27 high of $65,700. Support sits at the psychological $60,000 level.

Why Bitcoin isn't following equities higher

The S&P 500's $2 trillion gain is concentrated in a narrow set of mega-cap tech names. Amazon, Microsoft, Alphabet, and Oracle added $1.9 trillion in three days alone, according to market data. This is an AI-capex-driven rally, not a broad risk-on signal. The Magnificent Seven's spending on data centers and cloud infrastructure is the primary driver, with Amazon Web Services revenue rising 37% to $42.2 billion.

Bitcoin, by contrast, faces crypto-specific headwinds. The CLARITY Act — which would establish a clearer regulatory framework for digital assets — has only a 13% chance of passing in 2026, per Polymarket. This regulatory uncertainty keeps institutional capital on the sidelines despite positive ETF flows.

ETF inflows haven't moved the needle

Bitcoin ETFs have seen $381 million in inflows this week, on track for their best week since May, according to SoSoValue. Yet the price has barely budged. Total crypto open interest is $114 billion, up 1.37%, with $204 million in liquidations across 69,047 traders in the past 24 hours, per Coinglass. The largest single liquidation was a $6.45 million BTC/USDC position on Binance. Twenty-four-hour trading volume across the market stands at $55.4 billion.

The modest ETF inflows relative to the market's $2.19 trillion total cap suggest that new institutional money is being absorbed without triggering significant price movement. Bitcoin dominance at 58.7% indicates that even within crypto, capital is concentrated in BTC rather than rotating into altcoins.

The divergence between equities and crypto could persist if the S&P 500 rally remains concentrated in AI-driven mega-cap names. Bitcoin's next test is the $64,545 resistance level; a close above that could target $65,700. Conversely, a failure to break higher could see BTC retest the $60,000 psychological support. The CLARITY Act vote timeline and continued US-Iran negotiations will likely determine whether risk appetite broadens beyond mega-cap tech.

This article is for informational purposes only and does not constitute investment advice.