Bitcoin – Nasdaq – Cryptonomist Report

Until 2019 in addition to any self-respecting safe haven, Bitcoin had nothing to do with the markets either It would be better if it was the other way around. considering theNASDAQ index as standard.

When the stock went down, the cryptocurrency went up and vice versa. This sparked the idea that money could be placed alongside gold as a safe haven asset.

However, since January 2010, an increasing number of investors have actually seen cryptocurrencies as a financial instrument that can be speculated for easy income in the short term. This way of working makes The protectionist profession of currency assets.

How Bitcoin Works Compared to the Nasdaq Tech Index

Bitcoin Correlation Wall
The growing relationship between Bitcoin and major stock indices on Wall Street

Bitcoin’s behavior has reversed after 2019. With every downturn or volatility in the market, crypto follows the same trend.

On April 8, the coefficient of Correlation between the trend of bitcoin and the trend of the NASDAQ index It came close to the all-time record by 0.69.

This close relationship with the basket of leading tech stocks shows the weakness of the currency in relation to the latter in line with the above.

The role of the tool that manages losses in a portfolio also exposed to the stock market may fail to face a sharp turn red in the tech market, following the increase in energy costs and the difficulty of finding raw materials and some processing (chips).

Arthur HayesAnd Co-founder of BitMEXHe says he is willing to bet BTC down at the tested $30,000 level as well as ETH seen at $2,500.

The relationship is getting closer and closer

Top AverageHayes, one of the world’s major information platforms, paints a picture in which the value of cryptocurrencies is closely related to the performance of traditional economic aspects.

Now that the worst quarter in the stock market in two years is over, tech stocks could follow a negative trend with serious implications for the value of Ethereum, Bitcoin, and the cryptocurrency sector in general.

So it seems that the ways of Bitcoin and Nasdaq are converging but in such turbulent and strange times even help can be unexpected or in any case not expected by a hasty eye.

While the war caused the economy to stagnate for the first time, it has arrived at a time when consumption can resume Now the fortunes of the markets can be revived.

Conflicts have always launched the military industry and got involved in all sectors by redeveloping factories, offering jobs, restarting orders after demand for weapons, ammunition, technology, tactical clothing, vehicles, etc. by troops in the field.

It is well established that as a result of each war, the accounts of the respective countries are settled even those defeated (Germany is an example). This could bring new life into the Nasdaq home and spur the role cryptocurrencies play as this emerges. The conflict in Ukraine.

On the other hand, the desire for cryptocurrencies can arouse the interest of interested parties and the increasingly concerned people, who can use them Evasion of penalties or safe transfer of capital.

Combining these two factors, the revitalization of the economy through the war industry and the elusive function of cryptocurrencies, could be Reviving recession-hit economies around the world.

Leave a Comment