Bitcoin Sharpe Ratio Drops Below 0 as Price at $89,886; 2026 Outlook Cautious

Bitcoin's Sharpe Ratio recently moved into negative territory even as price strength returns, according to Alphractal CEO Joao Wedson. He noted that robust performance historically aligns with readings above 1, while sub-0 phases often coincide with consolidation. As of this writing, BTC is near $89,886, up 1.4% day-over-day, with commentary pointing to a cautious stance for 2026.