Bitcoin and software stocks moved almost in lockstep for much of the past five years, with BTC treated as a high-beta technology asset.

The iShares Expanded Tech-Software Sector ETF (IGV) served as one of the best proxies for the software sector. That relationship, however, appears to have broken down.

Since May 14, bitcoin and IGV have sharply diverged. IGV has gained roughly 12%, while bitcoin has fallen about 10%, marking one of the largest disconnects between the two assets in recent years.

Bitcoin and IGV reached all-time highs in October 2025 before entering significant drawdowns, with bitcoin declining roughly 50%, while IGV around 37%. The software sector’s weakness was largely driven by growing fears that artificial…