Bitcoin and Crypto Rock Solid Despite Over 2% Drop in S&P 500, Will It Sustain?

Regardless of a pointy correction within the U.S. fairness markets on Thursday, September 29, Bitcoin (BTC) and the broader crypto market have remained rock strong with little volatility. As of press time, BTC is buying and selling 0.42% down at a worth of $19,357 with a market cap of $371 billion.

On the weekly chart additionally, the BTC has proven lower than 1% motion and has been holding up fairly effectively. On the identical time, the S&P 500 underwent a really sturdy on Thursday, tanking greater than 2%. So what we’re seeing now could possibly be the preliminary indicators of Bitcoin’s long-term decoupling from the U.S. fairness market. As on-chain information supplier Santiment reviews:

#Bitcoin has caught round $19.4k and #Ethereum at $1,340 at the moment. However the story is the truth that they’re doing so with out the help of the #SP500, which is down -2.4%. If the correlation is easing between #crypto & #equities, that is very encouraging.

Bitcoin vs Banks

As we all know, central banks throughout the globe have been struggling to cope with present macro circumstances. Amid its quantitative tightening measures, the British central financial institution has pivoted to money printing measures to guard its bond market.

Talking at CNBC’s Delivering Alpha conference on Wednesday, legendary investor Stanley Druckenmiller believes that crypto might see a revival because the belief within the central financial institution fades away. The investor believes that the U.S. financial system is already in serious trouble and that recession may be very seemingly by 2023. He added:

I might see cryptocurrency having an enormous function in a Renaissance as a result of folks simply aren’t going to belief the central banks.

The investor mentioned that he doesn’t personal any crypto as of now however added “it’s powerful for me to personal something like that with central banks tightening”. Sven Henrich, the founding father of NorthmanTrader, a markets analysis agency said: “You already know we’ve reached a novel time in historical past when #Bitcoin out of the blue is much less unstable than fiat currencies”.

Bhushan is a FinTech fanatic and holds an excellent aptitude in understanding monetary markets. His curiosity in economics and finance draw his consideration in the direction of the brand new rising Blockchain Expertise and Cryptocurrency markets. He’s constantly in a studying course of and retains himself motivated by sharing his acquired data. In free time he reads thriller fictions novels and typically discover his culinary abilities.

The offered content material might embody the private opinion of the writer and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The writer or the publication doesn’t maintain any duty on your private monetary loss.