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bitcoin (btc-USD) to fall marginally in ~1.7% weekly, amid a sell-off in major Wall Street market averages and as volatility levels hit their all-time high for the year.
On Friday afternoon, the VIX – known as the Wall Street index – fear meter, it was up to 22.3%. This jump took the volatility index to its highest level since October 31, 2023. The index is now up approximately 58% from its 52-week low of $11.81 reached in December.
The leading cryptocurrency started the week strong and reached $72,000 on Monday, a week after touching around the $65,000 level. But btc retreated below the psychological threshold of $70,000 on Tuesday due to continued market volatility.
However, btc prices remained relatively stable on Wednesday and returned to the $70,000 mark, amid a higher-than-expected consumer price index for March, which sent shockwaves through more traditional markets.
“Although this week has seen a lot of volatility stemming from US inflation reports and the announcement that the SEC plans to sue Uniswap, markets have remained stable with bitcoin hovering around $70,000,” said Nick Ruck, COO of ContentFi Labs.
“This could be a sign that the market has not yet peaked and investors are optimistic that the industry still has more room to grow,” Ruck added.
Uniswap Labs received a notice from the Enforcement Division of the U.S. Securities and Exchange Commission indicating that the SEC plans to recommend legal action against the company, the firm said in a blog post On Wednesday.
Cryptocurrencies are expected to be in the spotlight for some time due to the halving event, which is soon approaching.
“”Digital asset investors and traders are wondering 'is the halving included in the price?' and in each cycle it tends not to be. Similarly, many investors thought that the approval of the btc ETF was also in the cards, but during the first 60 days of trading of the ETF, the price of bitcoin rose sharply. Because? Because these particular events lead to real changes in the mechanics of supply and demand on exchanges' order books,” BitGo said.
Outstanding news
- Citi downgraded Robinhood Markets (HOOD) to Sell, fearing the market is placing too much weight on the app's crypto business.
- Hong Kong will give the green light next week to the first round of applications for bitcoin exchange-traded funds (btc-USD).
- The market value of cryptocurrencies could nearly double to $5 trillion by the end of the year, Ripple CEO Brad Garlinghouse said, thanks to persistent demand in newly approved bitcoin exchange-traded funds (btc-USD), as well as to the upcoming bitcoin halving event. .
bitcoin and ether prices
bitcoin (btc-USD) was down 5.2% daily at $66.4K at 3:07 pm on Friday, erasing all gains for the week, and Ether (eth-USD) fell ~8% at $3.2 thousand
“I also think there is a lot to be said for bitcoin mining becoming an integral part of the energy grid infrastructure,” said SA Stony Chambers Asset Research analyst.
“People will start to realize that btc was one of the best ESG assets after all, as it does so much for renewable energy and communities in developing countries. bitcoin is surely here to stay,” added Stony Chambers Asset Research .
