Bitcoin Stabilises While Stocks Keep Falling

Bitcoin Stabilises While Stocks Keep Falling

Bitcoin and other virtual currencies remained solid or increased on Thursday, in stark contrast to the stock market, which was under siege. The cryptocurrency market’s surge to new heights is the first time that a digital asset has outperformed equities, which have previously been considered “the money game.”

The price of Bitcoin has increased by less than 1% in the past 24 hours, to $19,800. On Wednesday, when stocks fell as well, the largest cryptocurrency dropped about 20%, reaching $19,150 before recovering to previous levels. Bitcoin has continued to struggle in its effort to consolidate over the key $20,000 level, having rallied as high as $22,000 within a week.

Other digital assets fared even better than Bitcoin on Thursday. Ethereum, the second-largest cryptocurrency by market value, surged 5% to $607, while Ripple’s XRP token spiked 8% to $0.60. Bitcoin Cash, Litecoin, and EOS all gained more than 3%.

The strong performance of cryptos comes as the stock market is reeling from heavy selling. The Dow Jones Industrial Average plunged 2.2%, while the S&P 500 and Nasdaq Composite both fell 1.7%.

As crypto rises, stocks continue to decline

The crypto market’s move higher is being driven by a number of factors, including increasing institutional interest, positive regulatory developments, and overall market momentum. With Bitcoin’s price now above $19,000, it is on track to surpass its all-time high of $20,089, set in December 2017.

The overall cryptocurrency market is now worth more than $600 billion, up from less than $200 billion at the start of the year. Bitcoin’s market value currently stands at around $367 billion, Ethereum is at $61 billion, and XRP is at $24 billion.

The price of Bitcoin has increased by less than 1% in the past 24 hours, to $19,800.
The price of Bitcoin has increased by less than 1% in the past 24 hours, to $19,800.

The strong performance of Bitcoin and other digital assets comes as traditional financial markets are under pressure. The Dow Jones Industrial Average plunged 2.2%, while the S&P 500 and Nasdaq Composite both fell 1.7%.

The stock market sell-off was driven by a number of factors, including concerns about the economic impact of the coronavirus and uncertainty about the outcome of the presidential election.

Investors are believing in crypto’s potential more

In contrast, the cryptocurrency market has been on a tear in recent weeks, driven by increasing institutional interest, positive regulatory developments, and overall market momentum.

With Bitcoin’s price now above $19,000, it is on track to surpass its all-time high of $20,089, set in December 2017. The overall cryptocurrency market is now worth more than $600 billion, up from less than $200 billion at the start of the year.


Conclusion

The strong performance of Bitcoin and other digital assets is a sign that investors are increasingly turning to alternative assets as a safe haven from the volatility in traditional financial markets.

While the stock market sell-off was driven by a number of factors, including concerns about the economic impact of the coronavirus and uncertainty about the outcome of the presidential election.