The S&P 500 Erased All 2026 Losses in One Week: Is It Time to Rotate Out of Crypto Into the S&P 500?

The S&P 500 erased its 2026 losses in a week-long rally, closing at an all-time high (7,126) on April 17 after a ceasefire in Iran, a >13% drop in crude and strong Q1 earnings (88% of reporters beat). The Nasdaq and small‑cap indexes also rallied, while oil’s pullback removed a war premium from equities. The piece frames a rotation question — selling crypto to buy the S&P — but argues timing is unfavorable: the S&P’s forward 12‑month P/E is 20.9 (well above long‑run averages), whereas Bitcoin trades near $75,500 (~40% below its $126,000 ATH) and has historically rebounded sharply after down years. The article is cautionary: equities look strong short term but expensive; history favors holding crypto through drawdowns rather than locking in losses to buy an already-rich market.