empty
02.06.2023 04:31 PM
Bitcoin loses out to artificial intelligence

What is Bitcoin? A risky asset that sensitively reacts to rumors of a pause in the Federal Reserve's rate hikes and an improvement in global risk appetite? But then, why does BTC/USD remain indifferent to the rally in the Nasdaq Composite? Or is it a safe haven asset that could demonstrate phenomenal results in the event of a default in the U.S.? Then how do we explain the token's surge in response to news of a debt ceiling agreement? To effectively trade any asset, it is necessary to understand its nature. And with the leader of the cryptocurrency sector, it is not easy to do so.

In theory, Bitcoin could even be considered a commodity. Indeed, the token's supply is growing rapidly due to decreasing electricity prices and the emergence of new supercomputers. At the same time, demand is declining amid increased regulatory scrutiny and various scandals in the crypto industry. Trust is earned over years and can be easily lost. Fraud in the sector, blockchain issues, the crash of FTX and Terra Luna make investors think thrice before investing in cryptocurrencies.

To restore trust, a leap in development or an increase in volatility is needed to attract speculators. Unfortunately, Bitcoin cannot boast of this at the moment. The 30-day volatility of its quotes has dropped to the lowest levels since the beginning of the year. The decline in speculative interest in cryptocurrency became one of the factors contributing to its nearly 8% drop in May. The closing of BTC/USD in the red zone marked the first time in the last five months.

Monthly dynamics of Bitcoin

This image is no longer relevant

The decline in Bitcoin demand is due not only to a decrease in trust and volatility but also to capital outflows to other markets. Primarily, this refers to U.S. technology company stocks. The hype surrounding artificial intelligence has propelled the Nasdaq Composite by over 25% since the beginning of the year. The stock index has gained almost 9% in the last month, significantly outperforming the leader of the cryptocurrency sector.

It is not surprising that the correlation between BTC/USD and the U.S. stock market continues to decline. Investors are willing to invest in the Nasdaq Composite even in the event of a recession in the American economy, especially since the Federal Reserve intends to pause its tightening monetary policy. This is good news for stock indices.

Dynamics of Bitcoin and Nasdaq Correlation

This image is no longer relevant

This image is no longer relevant

Bitcoin faced some pressure from inflated expectations. Investors considered the token the best investment option in the event of a U.S. default, second only to gold. The agreement to suspend the debt ceiling until 2025, with subsequent ratification in Congress, deprived BTC/USD of the opportunity to showcase its best qualities.

Technically, on the daily chart of Bitcoin, there was an unsuccessful attempt by the bulls to attack with the aim of restoring the upward trend. I don't think that token enthusiasts will give up because of it, especially since the Wolfe Wave and Double Bottom patterns are joined by the 1-2-3 pattern. Breaking through the resistance at 27,630 will provide a basis for buying BTC/USD.

Pilih timeframe
5
mnt
15
mnt
30
mnt
1
jam
4
jam
1
hari
1
minggu
Dapatkan keuntungan dari perubahan nilai mata uang kripto dengan InstaForex.
Unduh MetaTrader 4 dan buka perdagangan pertama Anda.
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    GABUNG KONTES

Artikel yang direkomendasikan

Kekacauan Pasar Akan Berlanjut (Ada kemungkinan penurunan lokal yang berkelanjutan pada #USDX dan harga emas)

Pasar terus bertindak secara membabi buta di tengah tindakan kacau Donald Trump, yang berusaha menarik AS keluar dari krisis mendalam dan menyeluruh seperti Baron Munchausen yang menarik dirinya sendiri keluar

Pati Gani 10:19 2025-05-23 UTC+2

Pasar Menarik Diri

Sebuah proyek yang diperlukan pada waktu yang salah. Dewan Perwakilan Rakyat telah menyetujui inisiatif pemotongan pajak Donald Trump. Presiden berharap hal ini akan membantu merangsang perekonomian dan mengimbangi kekurangan dalam

Marek Petkovich 09:29 2025-05-23 UTC+2

Gambaran Umum GBP/USD – 23 Mei: Tidak Ada Pembicaraan, tetapi Tetap Bertahan

Pada hari Kamis, pasangan mata uang GBP/USD diperdagangkan dengan relatif tenang, tetapi seperti EUR/USD, telah mengalami kenaikan selama dua minggu. Sekilas, mungkin ada yang bertanya-tanya apa alasan para trader atas

Paolo Greco 08:15 2025-05-23 UTC+2

Gambaran EUR/USD – 23 Mei: Pemberontakan Terhadap Dolar Berlanjut

Pada hari Kamis, pasangan mata uang EUR/USD trading dengan relatif tenang, namun telah mengalami kenaikan yang signifikan selama dua minggu terakhir. Pergerakan ini dapat diinterpretasikan dengan beberapa cara. Dari perspektif

Paolo Greco 08:15 2025-05-23 UTC+2

Apa yang Perlu Diperhatikan pada 23 Mei? Rincian Peristiwa Fundamental untuk Pemula

Sangat sedikit laporan makroekonomi yang dijadwalkan untuk hari Jumat. Hanya dua yang patut diperhatikan: estimasi akhir PDB Jerman untuk kuartal pertama dan data penjualan ritel Inggris bulan April. Laporan

Paolo Greco 05:58 2025-05-23 UTC+2

RUU "Besar dan Indah" vs. Bea Impor

Saat ini, Donald Trump fokus mempromosikan apa yang dia sebut "RUU yang Besar dan Indah." Dalam perang dagang, Trump telah melakukan segala yang dia bisa, mulai dari memberlakukan tarif, kemudian

Chin Zhao 00:23 2025-05-23 UTC+2

The Fed Belum Siap Bertindak Sebelum Paruh Kedua Tahun Ini

Dalam ulasan terbaru, saya berulang kali membahas topik kebijakan moneter Federal Reserve, ekspektasi pasar, dan realitas yang kita semua hadapi. Saya percaya bahwa ekspektasi pasar terhadap pelonggaran Fed tetap terlalu

Chin Zhao 00:23 2025-05-23 UTC+2

Inflasi Kanada Kembali Tumbuh. Tinjauan USD/CAD

Inflasi inti pada bulan April secara tak terduga naik lebih tinggi dari perkiraan, meningkat dari 2,2% menjadi 2,5% secara tahunan. Inflasi utama melambat dari 2,3% menjadi 1,7%, sedikit di atas

Kuvat Raharjo 00:23 2025-05-23 UTC+2

Dolar Terus Melaju

Persetujuan oleh Dewan Perwakilan Rakyat atas apa yang disebut Donald Trump sebagai undang-undang pemotongan pajak yang "besar dan indah", bersama dengan kenaikan PMI gabungan AS dari 50,6 menjadi 52,1, membantu

Marek Petkovich 18:16 2025-05-22 UTC+2

EUR/USD. Euro Lemah, Dolar Lemah

Selama tiga hari terakhir, EUR/USD telah naik dengan mantap, meningkat dari 1,1160 ke level tertinggi lokal (dua minggu) di 1,1363—kenaikan hampir 200 poin dalam tiga hari, hasil yang mengesankan dalam

Irina Manzenko 18:09 2025-05-22 UTC+2
Tidak bisa bicara sekarang?
Tanyakan pertanyaan anda lewat chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.