p>Investors are anticipating further gyrations in bitcoin and other cryptocurrency markets, as fears about an overly aggressive Federal Reserve threaten to squelch risks across markets.</p><p>The typical volatility in cryptocurrencies has been prominent over the past few weeks. https://goatpolice4.werite.net/post/2022/02/13/How-to-Buy-Bitcoin is the most popular cryptocurrency, has been up 33% in the past month since Jan. 24 and was recently trading at $43,850, rebounding from an inflection point that cut its price by half from its November record-setting price. https://bvphusanct.com.vn/Default.aspx?tabid=120&ch=22144 , ether , is up 45percent from Jan. 24 at around $3,200 in the wake of a near 56 percent drop from the record-setting $4,868 the same month in November.</p><p></p><p>While advocates of cryptocurrency once stated that they have no correlation to other assets, bitcoin and its peers enjoyed huge gains over past two years. They've been rising along with stocks as the Fed and other central bankers pumped extraordinary levels of stimulus into the world economy. Bitcoin is up 1,039 percent since March of 2020 and the price of ether has increased by 2,940%. The growth in both cryptos have stopped by several stomach churning sales.</p><p></p><p>Their recent volatility is a result of a larger market selloff triggered by investors changing their portfolios to account for an aggressive Fed that is predicted to raise rates in the range of seven times over the course of this year, as it is fighting rising inflation. The index that is the benchmark S&P 500 index (.SPX) has dropped 5.5 percent in the year to date, while the technology-focused Nasdaq (.IXIC) had lost 9.3%.</p><p>Fears that a ferocious government tightening of the pace going forward will hurt risky assets has made it difficult for traders to maintain their positive view regarding bitcoin and other digital currencies the asset class associated with extreme volatility.</p><p></p><p>Rising tensions in Ukraine and Ukraine, where Washington warned that a Russian attack could start any time, could lead to market shifts in the future according to investors. learn more</p><p>Bitcoin can "really become the ultimate mover and so many risk factors that could cause a 40% drop that appears out of thin air," said Ed Moya as the senior analyst of Oanda.</p><p>The volatility of Bitcoin doesn't stop some analysts from trying to determine whether the currency is worth its value or identify potential price points.</p><p>Analysts at JPMorgan estimate bitcoin's current fair value at around $38,000 , which is about 15% below its recent price - based on its relative volatility to that of gold. https://cactuspaul9.bravejournal.net/post/2022/02/13/How-to-Buy-Bitcoin is a second asset people often invest in to protect their portfolios from the effects of inflation and economic uncertainty.</p><p>Vanda Research, meanwhile, reported in a recent document that the majority of bearish bets on a weaker bitcoin price were placed approximately $47,000 "there could be a major short-squeeze , if the threshold is reached, and retail investors are reintroduced back to crypto-trading."</p><p>Furthermore, correlations between bitcoin as well as the S&P 500 rose to an all time high on Jan 31, according to data obtained from BofA Global Research, undercutting the logic of those hoping for the use of cryptocurrency as protection against market volatility.</p><p>Investors are expected next week to receive minutes of the Fed's last session on monetary policy that will be due out on Wednesday. Walmart (WMT.N) and chip maker Nvidia Corp (NVDA.O) will be among the companies to report resultsas earnings season kicks off.</p><p>Some investors are ready to ride out the volatility in bitcoin, betting that the potential long-term investment for blockchain tech, the built-in supply limit and the network effects it creates, will last despite the constant price swings.</p><p>Jurrien Timmer director of macro-economics at Fidelity The Fidelity director compared the present speculation about cryptocurrency to the fluctuations in tech stocks seen during the dotcom boom nearly 20 years ago, a boom-and bust period in which there was the smallest number of companies remain.</p><p>"Amazon is still going strong and Apple is still in existence and they're bigger than ever . the assumption is that for bitcoin it will be similarly," says the expert. "But bitcoin isn't immune to the waves of speculation and sentiment."</p><p>Bitcoin could hit the $100,000 mark by 2023. Timmer stated, using his supply and demand models.</p><p>Others believe mature cryptocurrencies like Bitcoin and Ether are unlikely for the kind of amazing gains they have seen since their creation.</p><p>Instead, they're looking at the universe of brand new alternative currencies that are in development to capitalize of the investment flowing into the crypto world, including the metaverse and NFTs. These coins saw the equivalent of $30 billion in venture capital investment in 2017, according to PitchBook?.</p><p>There are altcoins that include cosmos Terra Luna, and Polkadot and are trading at around 20.5% 35.8%, 38.8% and 25.5% year-to-date, respectively, as per coinmarketcap.com.</p><p>Understanding the risks connected to them and decentralized financing is going to be one of the most significant challenges for investors by 2022, says Lily Francus, director of quantitative research strategy at Moody's Analytics.</p><img width="364" src="https://www.numbrs.com/wp-content/uploads/2022/02/glassnode-studio_bitcoin-net-unrealized-profit-loss-nupl-1.png"><p>Cryptocurrencies "are going to remain volatile going forward, but there are significant players both on the institutional side and the retail side who are expanding, and so the interest is still growing," said Oanda's Moya.</p><iframe src="https://www.youtube.com/embed/OfVumcKtpG8" width="560" height="315" frameborder="0" allowfullscreen></iframe>


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Last-modified: 2022-02-13 (日) 11:06:22 (811d)