Stock Market is looking red. But what about Crypto?
In the wake of news of interest rate hikes from the US Federal Open Market Committee the Stock Market has begun to look bearish. The DJIA, S&P, and NASDAQ all closed in the red today. This whole week has looked bearish in the markets after reports of scandals with tech giants such as Facebook and bad economic outlooks from the Feds. A common question right now is, what does this mean for Crypto?
This week, Cryptocurrency markets started to turn back upwards after a rather red looking previous week, with Bitcoin dipping down as low as $7800 before bouncing back upwards near $9000 again this week. What is the reason for this? From my perspective, it seems that some institutional and traditional investors are beginning to look for other investment vehicles and options. With the stock market bearish or trading sideways, it has become, for lack of better terms, boring for Intraday traders. This may be good news for Cryptocurrency markets, as many of these investors may turn towards Crypto as an alternative option in the meantime.
Do you guys think that the Cryptocurrency market might offer an alternative for these investors in the wake of bear markets? How do you think the Stock Market relates to the Crypto Market?
Post your ideas in the comments below!
Isaiah Croatt
Chief Research Officer
CoinLion LLC