Bitcoin price edges closer to $20K as ‘way worse’ US data boosts stocks

Bitcoin (BTC), which is now at $20,000, was boosted by the open of United States equity markets on Oct. 17.

BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView

Stocks rise as the U.S. dollar falls

Data from TradingView and Cointelegraph Markets Pro showed that BTC/USD reached $19,672 via Bitstamp. This is 3.5% higher than the weekend’s lows.

The pair rose in line to stocks with the S&P 500 Index and Nasdaq Composite Index both increasing 2.7% and 3.2% respectively within 30 minutes of trading.

This action was combined with weak U.S. data, such as the Empire State Manufacturing Index, that fell to -9.1 in October. It is significantly below the forecast –4.3 and September’s reading of -1.5.

The October survey showed that manufacturing activity in New York State declined, as stated by the New York Federal Reserve. This commentary was provided by the New York Federal Reserve.

“The general business condition index dropped eight points to 9.1. Twenty-three percent of respondents said that conditions had improved in the past month. Thirty-two percent stated that they had seen conditions worsening.

Michael van de Poppe (founder and CEO of Eight trading company) responded by calling the results “way worse that expected”.

“Top on Yields and $DXY are on the horizon. He predicted that Bitcoin would rally.

The U.S. Dollar Index (DXY), which was tracking 112 and 0.65%, continued to retrace its gains from the previous day.

While summarizing new macro analysis, Mike McGlone, senior commodity strategist at Bloomberg Intelligence wrote, “Risk asset inflation in 2022 and Fed tightening, despite the world leading toward recession portend anelusive end game.”

“The lower price cure in commodities may be required to curb Fed restraints and plummeting money supply.” The cooling of crude oil could be used to refuel Bitcoin or gold.

U.S. dollar index (DXY) 1-day candle chart. Source: TradingView

Research reinforces impending volatility

Although traders had already predicted some relief for crypto markets in the weekly timeframes of January, other perspectives reaffirmed that nothing has changed long-term for Bitcoin.

Related: 5 Things You Need to Know in Bitcoin This Week – “Get Ready” for BTC Volatility

“It’s very rare for BTC markets reach periods of such low realized volatilty with almost all previous instances preceding an extremely volatile move,” Glassnode, an on-chain analytics firm, stated in its latest edition of The Week On-Chain.

Researchers including Checkmate, the lead analyst, argued that the market has reached a crucial point.

They continued, “Historical examples of 1-week rolling volatility lower than 28% in a bear markets have preceded significant price movements in both directions.”

Screenshot of the Bitcoin 1-week realized volatility chart Source: Glassnode

Glassnode concluded that, despite potential price breakouts in BTC-denominated forwards open interest reaching new all-time highs and other indicators, there was little discernible directional bias within futures markets.

The newsletter stated that volatility is possible and Bitcoin prices will not be stable for long.

com. You should do your research before making any investment or trading decision.
https://cointelegraph.com/news/bitcoin-price-edges-closer-to-20k-as-way-worse-us-data-boosts-stocks

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Donna Burk

Donna Burk– Business News My Name is Donna Burk and I am also the main source from the ‘Dailynewssheet.com’ of all the exclusive and most delicate visualization of the activities in the business sector. My first step towards this journey was taken in the very early years of my life. I started with an independent financial consultant. However, I only had almost 4 years of skills and experience in this market. I have always been a free personality and like to fly one place to another, to explore more and more. Moreover, this passion and craze of traveling gave me a chance to report a section for best news associations. Last but not least, I am presently working full-time as an editor.

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