• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
NewsBTC
No Result
View All Result
Nexo Logo

Bitcoin Price Trending Higher as World’s Economic Order Derails

Davit Babayan by Davit Babayan
3 years ago
in Bitcoin, Technical analysis
Reading Time: 2 mins read
Advertisement

On the day the US President Donald Trump announced tariffs on more than $300 billion worth of Chinese goods, he unknowingly woke up a bullish trend in a completely unrelated market.

Bitcoin, the world’s leading cryptocurrency, climbed more than 58 percent to hit $9,090 in May 2019, a month which parallelly saw US market’s benchmark indicator, the S&P 500 Index, falling by 6.58 percent — as concerns ascended over the worsening trade war between the US and China. At the same time, the Bitcoin market also performed exponentially better than the Nasdaq, the MSCI EAFE Index, and Oil, as shown in the graph below.

Nasdaq, S&P 500
May Performance of Leading Global Markets | Image Credits: FactSet, Morningstar

Bitcoin a Proven Hedge against Liquidity Crisis

The vast disproportion between the interim sentiments of global markets and bitcoin has prompted many to connect the dots. Grayscale Investments, a US-based asset management firm, in its latest report, highlighted many of bitcoin’s bullish responses to the macroeconomic concerns noted across the past five years. Before the US-China trade war, the cryptocurrency surged impressively amidst Brexit, Greece debt crisis, and events like capital control in China.

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

“While it is still very early in Bitcoin’s life cycle as an investable asset, we have identified evidence supporting the notion that it can serve as a hedge in a global liquidity crisis, particularly those that result in subsequent currency devaluations,” — wrote Grayscale.

The global market has now shifted its hope to a probably meeting between President Trump and his Chinese counterpart Xi Jinping during this month’s G20 summit in Osaka.

Financial Times reported that Trump is feeling pressure from hundreds of companies and trade associations to negotiate with China. In a joint letter addressed to the US president, retail giants like Walmart, Ikea, Target, and J Crew urged the supremo to not move forward with tariffs on China.

“The additional tariffs will have a significant, negative and long-term impact on American businesses, farmers, families and the US economy,” the 661 signatories urged. “Broadly applied tariffs are not an effective tool to change China’s unfair trade practices. Tariffs are taxes paid directly by US companies…not China”.

Weak Economic Calendar

Even though Trump and Jinping bury the hatchet, the move will be less likely to affect bitcoin’s bullish bias in medium-term.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!

Alex Saunders, the CEO, and co-founder of Nugget News, a YouTube-based cryptocurrency channel, reminded that bitcoin is becoming scarce, pointing to a ‘halving event’ next year that would cut the cryptocurrency’s supply rate by half. Atop that, a section of investors will be more likely to treat bitcoin a hedging instrument against a string of impending economic issues.

“Argentina [is] following Venezuela into hyperinflation,” explained Saunders. “Italy [is] proposing a parallel currency. EU & ECB [are] under stress. Brexit Party [is] rising. US tariffs; China debt/Yuan peg; [and] FED & RBA rate cuts & QE.”

Tags: Anti-Bitcoin sentimentbitcoin
Tweet123Share221ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Davit Babayan

Davit Babayan

Davit Babayan is an Armenia-based expat balancing the academic life of a software design engineer with the experiences of a financial technology journalist. He aspires to be a full-time columnist and wants to write a book that would be called, "A Homeless Who Found Bitcoin."

Related Posts

Ethereum

TA: Ethereum Trims Gains, Why ETH Remains At Risk Below $1,100

9 hours ago
Bitcoin

TA: Bitcoin Recovers Sharply, Why BTC Could Still Struggle Above $20,500

11 hours ago
bitcoin

Why Rich Dad, Poor Dad Author Will Wait For Bitcoin To Drop To $1,100 Before Buying More

16 hours ago
Bitcoin And USDC

USDC Exchange Reserves Rise As Investors Escape From Bitcoin

19 hours ago
Bitcoin network

Bitcoin Enters Hibernation Mode As Network Activity Lulls

21 hours ago
Fed Announces Inflation Warnings As Bitcoin Whales Remain In Wait Mode

Fed Announces Inflation Warnings As Bitcoin Whales Remain In Wait Mode

1 day ago

Premium Partners

Top Brokers

PrimeXBT

PrimeXBT

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
7BitCasino

7BitCasino

Review · Visit
BC.Game

BC.Game

Review · Visit
Punt Casino

Punt Casino

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bspin

Bspin

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
BC.Game

BC.Game

Review · Visit

U Promise Me: The Digital Promise Platform

July 1, 2022

XT.com Lists Land of Fantasy (LOF) With USDT Trading Pair

July 1, 2022

LYOTRADE Launches Crypto Loans—Get USDT and Win Against Volatility

July 1, 2022

Torches Genesis NFT Launching, Win Torchlight NFT to Unlock IDO Allocation

June 30, 2022

Crypto News Flash: Best Meme Coins to Explore in Bear Market 2022 – Floki Inu (FLOKI), Akita Inu (AKITA) and RoboApe (RBA)

June 30, 2022

ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2021 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play Games
  • Bet & Win

© 2021 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.