Reuters Poll Shows Massive Rally For Bitcoin After Falling almost 12%
Last week Bitcoin was seen in its rough state in past three months.
The cryptocurrency received significant sales on Wednesday that lasted until the next day’s session. In total, the BTC / USD pair lost 12 percent of its value, down from $11,950 to around $10,000. Its renewed snag concerns about the extended dive, with many predicting that $9,600 would be the next rough target.
Bitcoin was not an independent case, however. The sudden downside in cryptocurrency coincides with similar movements in traditional markets. U.S. stocks plummeted last week, and, with the tech-savvy Nasdaq Composite Index placing 5 percent to $11458, its most significant one-day decline since June 11th.
Gold, safe commodities, also fell 3.11 percent from a weekly high by $1,992.56 an ounce. But one asset has risen sharply with the collapse of US stocks, gold, and Bitcoin: the US dollar.
Dollar Got Stronger
The greenback benchmark index (TVC: DXY), which equates it with the foreign exchange basket, fell from its lowest levels earlier this week. The rebound added about 1.15 percent to its strength. So it seems, day traders are back in the US dollar after examining reports of a recent growth in the US economy. Earlier this week, the country’s manufacturing data showed improvement, and unemployment claims for weekly adjustments declined.
Traders take it as their advice to sell their profitable positions in risky and non-risky markets. So, the capital returned to the city, tightening it along the lines.
Reuters Results And Bitcoin
A temporary return to the US dollar market did not promise to stretch at regular intervals, at least according to a recent Reuters study on fiat money.
The media mogul surveyed 75 strategists looking forward to the US dollar by 2021. Most of them said they expect the greenback to increase its decline as long as the Federal Reserve maintains its lending rates to zero. In addition, the US Central Bank’s resilience to inflation will increase the stated risk.
At present, scarce commodities like Bitcoin and gold are seen as nemesis for many dollars. Investors are protected from these assets as they appear to be safe because they are at risk of losing their savings as a result of rising consumer price indexes. The same view has helped gold and Bitcoin rise sharply from the middle of the March depths.
A Reuters survey shows that the recent return of the dollar is more technical than basic. Its result has left Bitcoin under the same trend as it was before the last week’s plunge. Bitdenex is the platform which provides hassle free access to trade cryptocurrencies. Open an account now for free and without obligation.