Simply put
- Bitcoin rose above $117,000, with gold hitting a new all-time high on Wednesday.
- After the US entered its first government shutdown in nearly seven years, stocks fell, with the S&P 500 and Nasdaq each down about 0.5%.
- The period of the shutdown remains uncertain, reflecting a 35-day standoff that has significantly rattled the market in the second half of 2018.
Popular and valuable stores like Bitcoin and Gold jumped Wednesday, diverging from the horrifying stock markets that they signed in after the first US government closure in nearly seven years.
Bitcoin has grown by 3.6% over the past 24 hours. $117,293 At the time of writing, it reaches its highest price in about two weeks. Tokens have skyrocketed by more than 7% since Sunday.
Meanwhile, gold spiked on Wednesday mornings, which exceeded $3,922 per ounce. Yahoo Finance. The mark remains closed, with the recent price being $3,902 per ounce, at 4.6% last week.
These bullish moves contrast with current sentiment in traditional financial markets, where prices slipped on Wednesday after the US government shut down in the middle of the night last night. The S&P 500 fell to $6,658, half the rate at the opening of the market. The Nasdaq Composite similarly soaked half of the points in $22,530.
At the time of this writing, the main inventory index is even closer to that day.
It remains to be seen how long the shutdown will last, or how it will affect the US macroeconomic outlook. During government closures, most federal agencies’ functions will be crushed to a halt, including collecting key economic data.
The country’s final closure during President Donald Trump’s first term in office in late 2018 was the longest in US history, over 35 days.
During its closure in December 2018, S&P ran over 9%. This is the worst December ever recorded since 1931.
Bitcoin went up and collapsed On the stock market Historically, recent trends have shown that the world’s top cryptocurrencies may ultimately be separated from Wall Street, said Eric Barknath, a senior analyst at Bloomberg. Decryption.
“That’s good because Bitcoin wants to move differently,” Bulknath said. “It would make it much more appealing to the whole set of big fish investors looking for something to diversify their portfolio even more.”
Analysts noted that Bitcoin is an even better sign as inventory rose for the majority of last month. Now, tokens may be partially spiked due to expectations of imminent interest rate cuts from the Federal Reserve. change Heart’s, Bulknath said.
If Bitcoin proves that it can move independently of the stock market in the long run, the benefits of cryptocurrency could be massive, predicted Baltuna.
“I think all I need is zero correlation so that it’s really evaluated,” he said. “I have zero money.”
Crypto Market Sentiment is currently bullishing that Bitcoin will continue to surge in the relatively near future. Myriad market BTC breaks the highest price record of all time, casting the chances of a surge to $125,000 as an overwhelmingly more likely (65% odds) than the tokens dropping to $105,000 first.
Editor’s Note: This story was updated after its publication with comments and additional details.
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