© Reuters. Bitcoin, Ethereum, Dogecoin Shoot Up, Decoupling From US Stocks — Are Sanctions, War Fueling The Rise Of Crypto?
Major coins presented a mixed picture Tuesday evening with trading flat, but trading in the green as the global cryptocurrency market cap rose 1.4% to $2 trillion.
| Bitcoin (CRYPTO: BTC) | 1.7% | 15.4% | $44,251.80 |
| Ethereum (CRYPTO: ETH) | -0.3% | 11.2% | $2,941.43 |
| (CRYPTO: DOGE) | 0.1% | 1.6% | $0.13 |
| THORChain (RUNE) | +31.9% | $5.41 |
| NEAR Protocol (NEAR) | +17.3% | $11.51 |
| Waves (WAVES) | +9.8% | $18.47 |
See Also: How To Buy Bitcoin (BTC)
Why It Matters: The cryptocurrency market broke away from stocks to trade higher on Tuesday. The S&P 500 and the Nasdaq closed 1.55% and 1.6% lower at 4,306.26 and 13,532.46, respectively, for the day.
GlobalBlock analyst Marcus Sotiriou pointed out that Bitcoin is showing signs of decoupling from the U.S. stock market in the short term.
“Bitcoin is being heavily bid due in part to the narrative of being a permissionless and censorship-resistant way of transferring value, as it has been used during the crisis in Ukraine as well as political unrest in Canada,” the analyst said, in a note seen by Benzinga.
Sotiriou also touched on the apex coin doing better than gold. “It is also fascinating that, after a week into geopolitical uncertainty, Bitcoin is outperforming gold, which is known as a safe-haven asset,” he wrote.
Alternative.me’s “Crypto Fear & Greed Index”, which flashed “Extreme Fear” last week, is now at “Neutral” — an indication of improvement in investor sentiment.
OANDA Senior Market Analyst Edward Moya wrote in a note that Bitcoin is turning bullish, with investors selling stocks and piling into Treasuries, commodities, and cryptos.
“As the Ukraine crisis deepens, diversification away from the Russian ruble is growing and that has led to flows into cryptos. It looks like the Crypto Winter is over, and prices have stabilized.”
Amsterdam-based cryptocurrency trader Michaël van de Poppe said on Twitter (NYSE:) the apex coin “took the liquidity” and “we’re having some sort of correction.” Van de Poppe pointed to the $42,000 mark as the “first level of test” for Bitcoin.
#Bitcoin took the liquidity here and seems likely that we’re having some sort of correction.
If so, I’d be looking at $42K as the first level of a test.
Meanwhile; equities are also correcting & Gold is running upwards. pic.twitter.com/14roAevfKo
— Michaël van de Poppe (@CryptoMichNL) March 1, 2022
Colin Wu, a journalist, tweeted that the Russia and Ukraine situation has seen the adoption of cryptocurrencies increase.
Affected by the situation in Russia and Ukraine, the adoption rate of cryptocurrencies has increased, and the crypto market has seen an independent rise. CoinGecko shows that the total market value of the crypto market has once again exceeded 2 trillion US dollars.
— Wu Blockchain (@WuBlockchain) March 2, 2022
Rafael Schultze-Kraft, the co-founder and chief technology officer of Glassnode, an on-chain analytics company, tweeted Tuesday that the uptick in addresses holding more than 1,000 BTC is the result of “the WBTC custodian moving reserves into a bunch of newly-created addresses.” He said this was not “whale accumulation.”
The uptick in addresses holding more than 1,000 BTC is a result of the WBTC custodian moving reserves into a bunch of newly created addresses.
Not “whale accumulation”.#Bitcoin pic.twitter.com/dTil8wtIwU
— Rafael Schultze-Kraft (@n3ocortex) March 1, 2022
Read Next: After SWIFT Removal Bites Hard — The Bitcoin Camp Has Its Say On Removing Crypto Access From Russians, Sanctions
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Read at Benzinga