Tuesday, April 20, 2021
Only Bitcoin Market News
Bitcoin Tax Solutions
  • Home
  • Bitcoin
  • Market
  • Cash
  • Price
  • Beginners
  • Gold
  • Private
  • Cryptos
  • Investors
  • Technical
  • Crash
  • Spam
  • Stock
  • Blockchain
  • Videos
  • Home
  • Bitcoin
  • Market
  • Cash
  • Price
  • Beginners
  • Gold
  • Private
  • Cryptos
  • Investors
  • Technical
  • Crash
  • Spam
  • Stock
  • Blockchain
  • Videos
Only Bitcoin Market News
No Result
View All Result

Economist: Bitcoin Remains a “Risk On” Asset After Reacting to Payroll Data

10 months ago
in Stock
2 min read
Economist: Bitcoin Remains a “Risk On” Asset After Reacting to Payroll Data
Share on FacebookShare on Twitter


Bitcoin saw some slight turbulence over the past few days, with its price rallying as high as $9,300 before facing a rejection that caused it to slide beneath $9,000 for a brief period.

This volatility appeared to be directly linked to news regarding US payroll numbers, signaling that the cryptocurrency presently remains highly correlated to the traditional markets.

Much to the chagrin of buyers, this throws some cold water on the “safe haven narrative” that many investors have been pointing to as a potential catalyst for further upside.

Nevertheless, there is still a strong case to be made that the cryptocurrency’s close ties to the traditional markets will help boost the benchmark digital asset’s near-term outlook.

Bitcoin Remains Firm “Risk On” Asset – Reacts to News Regarding US Payroll Data 

Bitcoin’s correlation with the stock market first became clear in late-February, when the asset’s price began declining in tandem with the benchmark stock indices.

This correlation grew in March and persisted throughout May, but did show some subtle signs of breaking in June.

Although many investors still believe that the cryptocurrency is a “safe haven asset” that will ultimately benefit from turbulence within the traditional markets, its recent price action seems to suggest otherwise.

Earlier this week, Bitcoin’s price rallied to highs of $9,300 before facing a rejection that led it lower.

This movement came about in close tandem with that seen by the benchmark stock indices, which all pumped on positive news regarding payroll data in the US.

The latest set of Non-Farm Employment data showed that the US labor market created a total of 4.8 million jobs – this signals that the economy is recovering quickly.

BTC reacted to this news in tandem with the traditional markets, an occurrence that one economist claims is proof of it being a firm “risk-on” asset.

“Move was small, yet today was the first time ever BTC traded payrolls like a traditional asset. Among economic data releases, US payrolls is one of the two largest sources of price volatility. The market is treating bitcoin as a risk-on asset, not as digital gold.”

BTC’s “Risk On” Status Could Boost It in the Near-Term

As NewsBTC reported yesterday, analysts do believe that a shift in narratives regarding the current pandemic could boost the traditional markets – in turn providing momentum to Bitcoin.

One analyst cited in the report said:

“Stocks, BTC, & ETH all printed their highs around June 8th. •News cycle then: ‘[virus] cases spike as economy re-opens.’ •News cycle now: ‘As cases spike, hospitalizations & deaths continue decline.’ Add some positive economic news & we could see those highs again soon.”

Because both the economy and the stock market are showing signs of strength, Bitcoin’s confirmed status as a “risk-on” asset may provide it with some much-needed momentum in the coming days and weeks.

Featured image from Shutterstock.





Read more:Economist: Bitcoin Remains a “Risk On” Asset After Reacting to Payroll Data

Related articles

Safemoon records 130% rise as Elongate becomes newest currency in Musk tribute

Safemoon records 130% rise as Elongate becomes newest currency in Musk tribute

April 20, 2021
Safemoon records 99% rise as Bitcoin has biggest single day drop for months

Safemoon records 99% rise as Bitcoin has biggest single day drop for months

April 19, 2021
Tags: AssetBitcoinbitcoin news todaydataEconomistPayrollReactingRemainsrisk

Related Posts

Safemoon records 130% rise as Elongate becomes newest currency in Musk tribute

Safemoon records 130% rise as Elongate becomes newest currency in Musk tribute

by Bitcoin Market
April 20, 2021
0

RECORD-BREAKING PRICES CRYPTOCURRENCIES like Bitcoin and Dogecoin are seeing record-breaking prices this week, but what’s the difference between them...

Safemoon records 99% rise as Bitcoin has biggest single day drop for months

Safemoon records 99% rise as Bitcoin has biggest single day drop for months

by Bitcoin Market
April 19, 2021
0

RECORD-BREAKING PRICES CRYPTOCURRENCIES like Bitcoin and Dogecoin are seeing record-breaking prices this week, but what’s the difference between them...

UPDATE 1-Johnson & Johnson has told Canada many times about challenges with COVID-19

FOREX-Dollar pinned near one-month low, Bitcoin steadies near $57k after weekend drop

by Bitcoin Market
April 19, 2021
0

BloombergChina’s $87 Billion Electric-Car Giant Hasn’t Sold a Vehicle Yet(Bloomberg) -- China Evergrande New Energy Vehicle Group Ltd.’s expansive...

Bitcoin suffers flash crash following week of crypto hype

Bitcoin suffers flash crash following week of crypto hype

by Bitcoin Market
April 18, 2021
0

Bitcoin has skyrocketed in value this year as it gained more mainstream acceptance, but the sharp price fall this...

Bitcoin falls 7.7% to $55,408 By Reuters

Bitcoin falls 7.7% to $55,408 By Reuters

by Bitcoin Market
April 18, 2021
0

© Reuters. FILE PHOTO: FILE PHOTO: A representation of virtual currency Bitcoin and U.S. One Dollar banknotes are seen...

Load More

Trend Now

  • Trending
  • Comments
  • Latest
Crypto-Powered Social Media Platform Voice Planning Launch for July 4 | CryptoGlobe

Crypto-Powered Social Media Platform Voice Planning Launch for July 4 | CryptoGlobe

June 8, 2020
Argo Blockchain boosts mining margins in July

Argo Blockchain boosts mining margins in July

August 5, 2020
5 Cryptocurrency Staking Providers – A Review | Hacker Noon

5 Cryptocurrency Staking Providers – A Review | Hacker Noon

January 30, 2021
North America’s first bitcoin ETF launches in Canada today

North America’s first bitcoin ETF launches in Canada today

February 18, 2021
J.K. Rowling Twitter Storm shows the Crypto Ecosystem Needs to Mature – CityAM

J.K. Rowling Twitter Storm shows the Crypto Ecosystem Needs to Mature – CityAM

May 19, 2020
Institutional investors see Bitcoin holding US$50,000 suggests ETP provider

Institutional investors see Bitcoin holding US$50,000 suggests ETP provider

February 18, 2021
‘Dogecoin Day’ brings volatility for meme-inspired crypto

‘Dogecoin Day’ brings volatility for meme-inspired crypto

0
Bitcoin daily chart alert – Bullish chart pattern develops – May 19

Bitcoin daily chart alert – Bullish chart pattern develops – May 19

0
Calvin Ayre Invests in True Reviews: A New Take on Consumer Review Sites Built on the

Calvin Ayre Invests in True Reviews: A New Take on Consumer Review Sites Built on the

0
J.K. Rowling Twitter Storm shows the Crypto Ecosystem Needs to Mature – CityAM

J.K. Rowling Twitter Storm shows the Crypto Ecosystem Needs to Mature – CityAM

0
Crypto.com’s MCO Visa Cards Are Now Shipping In Europe – Fintech Singapore

Crypto.com’s MCO Visa Cards Are Now Shipping In Europe – Fintech Singapore

0
Elon Musk tried to explain Bitcoin to JK Rowling on Twitter and this happened

Elon Musk tried to explain Bitcoin to JK Rowling on Twitter and this happened

0
‘Dogecoin Day’ brings volatility for meme-inspired crypto

‘Dogecoin Day’ brings volatility for meme-inspired crypto

April 20, 2021
Iconic Funds Receives Approval to Issue and Publicly Offer a Physically Backed

Iconic Funds Receives Approval to Issue and Publicly Offer a Physically Backed

April 20, 2021
Covid-19 live updates: ‘Dramatic deterioration’ in information access due to

Covid-19 live updates: ‘Dramatic deterioration’ in information access due to

April 20, 2021
Introducing Crypto on Venmo

Introducing Crypto on Venmo

April 20, 2021
Cryptocurrency Giant Binance Hires Former Top Bank Regulator

Cryptocurrency Giant Binance Hires Former Top Bank Regulator

April 20, 2021
‘It will be ugly’: Bitcoin bear gives 2 reasons why he thinks the ‘bubble’ is going

‘It will be ugly’: Bitcoin bear gives 2 reasons why he thinks the ‘bubble’ is going

April 20, 2021
  • Contact Us
  • Terms of Use
  • Cookie Privacy Policy
  • Privacy Policy
  • DMCA

© 2020 MarketForBitcoin.com

No Result
View All Result
  • Home
  • Bitcoin
  • Market
  • Cash
  • Price
  • Beginners
  • Gold
  • Private
  • Cryptos
  • Investors
  • Technical
  • Crash
  • Spam
  • Stock
  • Blockchain
  • Videos

© 2020 MarketForBitcoin.com

  • bitcoinBitcoin(BTC)$56,509.001.37%
  • bitcoin-cashBitcoin Cash(BCH)$938.981.18%
  • binance-coinBinance Coin(BNB)$563.5110.91%
  • bitcoin-goldBitcoin Gold(BTG)$95.296.28%
  • bitcoin-privateBitcoin Private(BTCP)$0.9218.23%
  • blocktixBlocktix(TIX)$0.012-69.38%