Bitcoin’s price struggled to maintain its position above $65,000, dropping below $64,000 during trading hours in America. It briefly climbed back to $65,000 but then slipped towards the $64,500 mark, marking a 1% decrease compared to 24 hours ago. The CoinDesk 20 Index also showed a decline of about 2.4%. This drop in Bitcoin’s price followed a sell-off in the equity market, with major indices like the Nasdaq and S&P 500 experiencing significant losses.
Joel Kruger, a market strategist at LMAX Group, suggested that the crypto rally could face obstacles if the stock market correction continues. However, he also mentioned that over the long term, cryptocurrencies might serve as a safe haven for investors looking to move away from stocks.
In other news, there were predictions on a crypto-based platform that President Joe Biden might drop out of the upcoming election, with his chances being estimated at 68%. This speculation arose after Biden announced that he had tested positive for Covid-19. The uncertainty surrounding Biden’s candidacy has implications for the cryptocurrency market, especially in comparison to his opponent, Donald Trump, who is viewed as more supportive of crypto.
The article also highlighted a malicious attack on the Indian crypto exchange WazirX, where the attacker managed to steal over $230 million in customer funds, including a significant amount of Shiba Inu (SHIB) tokens. This incident led to a drop in the value of various cryptocurrencies on the platform, with the bitcoin-rupee pair experiencing an 11% decline.
The chart of the day showcased CME’s dominance in the global notional open interest for bitcoin and ether futures markets. The derivatives giant accounted for 83% of total BTC futures open interest and 65% of ETH open interest, indicating a growing institutional presence in the crypto market.
Overall, the cryptocurrency market is facing fluctuations due to various factors such as market sell-offs, political uncertainties, and security breaches. Investors and traders need to stay informed and cautious in such a volatile environment to make sound decisions regarding their crypto holdings.