The cryptos fell during the last weeks, along with the stocks and equities. The coronavirus outbreak influenced the whole global economy. While some experts thought at first that Bitcoin might behave as a safe-haven asset, their prediction proved wrong so far. Instead of rallying, the currency suffered severe losses after it hit high at the beginning of the year.
However, the cryptocurrency markets stabilized moderately after traditional financial markets found some footing on Tuesday. Most crypto prices have moved in the green over the past 24 hours as the massive sell-off slowed at last.
Bitcoin has now been fluctuating between 5,000-$5,500 since March 17. The crypto traded at that price during the weekend, too, before the Federal Reserve announced its surprise rate cut on Sunday, March 15.
During the last 24 hours, Bitcoin managed to edge up by 7% and was trading at $5,371. Japan’s Nikkei 225 index also showed a slight gain, rising by 0.06% on March 17. The analysts noted that over the last several weeks, trading in Japanese markets is one indicator of how bitcoin will perform in the following hours. It seems, when the Nikkei traded in a tight range of limited up or down swings, so did bitcoin.
What about other cryptocurrencies?
Most of the other cryptos changed insignificantly. However, some of them made more notable moves. Lisk gained 11%, while IOTA increased by 6%, and bitcoin SV ended the session in the green by adding 6%.
The head of research for digital asset firm Bequant, Denis Vinokourov, noted that this is not the first time that bitcoin traded in tandem with other assets. According to him, other examples include the China trade war and geographic tensions in Iran.
Experts think that Bitcoin is undervalued. But some traders see the BTC price’s downfall as the opportunity to buy it. Henrik Kugelburg, over-the-counter crypto trader, stated that the weak hands are leaving, while the firm believers are buying.
- Trading Instrument