Coincidence or correlation? U.S. stock market plunge preceded Bitcoin's crash to $7,900

Bitcoin experienced its worst plunge since January 2018, dropping as much as 18 percent on Sept. 24.

The drop came shortly after the U.S. stock market experienced a similar crash, which led many to question whether Bitcoin was truly a "Safe haven" asset.

The much-anticipated launch of Bakkt's physically settled Bitcoin futures and rumors of Bitcoin ETFs all pointed out to an inevitable influx of institutional money into the crypto market.

As soon as Bitcoin dropped below the $8,000 resistance, theories on why such a sharp drop happened began popping up.

Many seemed to believe that the drop in Bitcoin's hash rate on Sept. 24 caused the price crash.

The physically settled futures were expected to be a major market mover, which is why their underwhelming launch could have deterred investors from Bitcoin.

Greenspan offered another interesting take on Bitcoin's latest price drop, sharing a graph showing there might be a correlation between Bitcoin and the stock market.

In a tweet, Greenspan said that the plunge the U.S. stock market experienced on Sept. 24 preceded the Bitcoin price crash.

Zooming out and looking at the bigger picture shows this was most likely a coincidence, as Bitcoin lost 14 percent of its value, while the stock market experienced just a 1 percent drop.

If both the stock market and Bitcoin head towards a rebound at the same time, stronger links between the two might be revealed.