News in brief
- The US stock markets are posting mixed results so far, classic DJIA and S&P 500 are slightly in the black and the tech Nasdaq continues to weaken.
- European stock markets rose significantly today, breaking a several-day negative streak. Also contributing to the positive development today were comments by the ECB chief that the expected rate hike will come in line with previous estimates and plans at the beginning of 3Q.
- The news of the halt of Russian gas shipments through the Ukrainian pipeline was reflected in a further rise in the price of gas on the markets. Analysts expect the gas situation to deteriorate further.
- Oil resumed its stronger growth in response to the blockage of Russian gas at the Ukrainian border. Oil is thus continuing its trend of extremely volatile price developments.
- Prices of gold rose today.
- Bitcoin price slightly dropped below its recent low at $29,000 and the overall market sentiment after a 25% price drop in five days is still largely negative.
- The crypto “Fear and Greed Index,” which uses volatility, volume, social metrics, Bitcoin dominance and Google trends data, has plunged to its lowest level since March 2020, 10 points yesterday and 12 points today, meaning extreme fear.
- Correlation to the stock markets, namely NASDAQ index, unstable geopolitical situation and higher regulation attempts in India and other countries are still the main threats weighing on crypto markets.
Bitcoin (BTC) is now trading at 28,798 USD down by 7,7% in 24h
Ethereum (ETH) is now for 2,090 USD down by 10,5% in 24h
PlatonCoin (PLTC) is now for 0,470 USD down by 6,8% in 24h
Total marketcap is currently at 1.324 trillion USD down by 12,1% in 24h
(all data valid at the time of publishing, from Coingecko.com)
Bitcoin and stock markets: According to the latest weekly report from Arcane Research, the BTC-Nasdaq correlation has grown to a new ATH of over 0.8.The “correlation” here is a measure of how the price of Bitcoin changes in response to movements in other assets like stock market equities. When the value of this indicator is positive, it means BTC’s correlation with that asset is positive right now. This means that the crypto’s price is moving in the same direction as the asset’s. Bitcoin has been mirroring the stock market throughout this year as the correlation has only surged up in recent months.
Coinbase and India: Crypto exchange Coinbase is backing out of a move to bring its services to India citing heavy pressure from the nation’s central bank. In the latest earnings call, Coinbase CEO Brian Armstrong says that the exchange had to halt its services in India despite a previous Supreme Court ruling that overturned a ban on crypto trading in the country.
Institutions and crypto payments: Despite the cryptocurrency market currently going through a bearish decline, the adoption of digital assets around the world is growing as governments and institutions become open to their use. Namely, Bentley University in the U.S. state of Massachusetts, is one of the first educational institutions in the country to accept tuition fee payments made in Bitcoin (BTC), Ethereum (ETH), and the stablecoin USD Coin (USDC), the university announced on May 3.