Bitcoin (BTC-USD) prices went down during late morning trading on Thursday as the broader stock market gave up some of its gains during the initial session. This occurred against the background of increasing rates on U.S. Treasury securities.
Bitcoin (BTC-USD), -1.1%, fell to as low as $18.9K earlier this week after failing to break clear of the $20,000 barrier earlier in the week. As of 11:37 a.m. today, bitcoin’s price is now changing to $19.26K. ET. Ethereum (ETH-USD), on the other hand, has only dropped by 0.3% to $1.32K, which indicates that it is holding up better than bitcoin.
The adverse intraday price action comes when all three main U.S. stock indexes are under selling pressure amid declining bond prices. The Dow Jones (DJI) is down 1.6%, the S&P 500 (SP500) is slipping 2.1%, and the tech-heavy Nasdaq (COMP.IND) is retreating 2.1%.
Since the price of Bitcoin (BTC-USD) has had a strong relationship with stock prices over the past year, it may be worth mentioning that “only 4.37% of stocks [in the S&P] are trading above their 50-day moving average,” said GlobalBlock analyst Marcus Sotiriou, adding that “that percentage level has led to extreme rebounds to the upside” in the past.
Bitcoin (BTC-USD) may be ready to make up some of the ground it’s lost since its all-time high of $68.9K in November 2021 if there’s any truth to the rumor that the stock market may be at a point where it may begin to stabilize. However, it is significant if. Meanwhile, Seeking Alpha writer Lance Roberts believes that the markets are positioned for a “major short squeeze.”
Coinbase (NASDAQ:COIN) was down 8.9%, Silvergate (SI) was down 7.4%, Riot Blockchain (RIOT) was down 5.8%, Marathon Digital (NASDAQ:MARA) was down 4.5%, and Core Scientific (CORZ) was down 10%. All of these crypto-related stocks traded in a sea of red.
Featured Image- Megapixl @ Traviswolfe