Bitcoin along with the entire cryptocurrency market is falling in tandem with the stock market. As US market slumped yesterday, the tech stocks dropped and drove the international markets to madness.
Bloodbath in the global market, tech stocks lead the market lower
As we reported earlier, Bitcoin has taken a fall and crypto market is in deep red. The losses are being registered between 1 to 15 percent.
However, the crypto market chart is not far off from this chart Tweeted by Ran Neu Ner,
This is not a Crypto chart.. I repeat… not a Crypto chart! pic.twitter.com/HYAQTC7P6U
— Ran NeuNer (@cryptomanran) October 11, 2018
The fall in crypto took place in tandem with the crash in the global stock market. Volatility has returned and that too with a vengeance, in crypto and global market both.
The global market has hit the eight month-low, the lowest level since February, according to the reports from the mainstream media.
The Dow plunged about 832 points which is the third worst decline in history. The tech stocks are hit the hardest as Amazon, Facebook, Netflix, Apple, and Boeing lead the market lower. Whereas, FTSE 100 hits its six-month low, while Nasdaq has already plunged about 8 percent this month.
The bloodbath that started in US markets, was followed in Asian and international markets. The benchmark indexes in Tokyo, Shanghai, and Hong Kong have been down 4%.
Stocks are going to have a scary October decline as investors get worried about the rising interest rates. The spike in the rates of benchmark US 10-year Treasury has got the investors wondering if about a decade old bull market might finally be coming to an end.
Paras Anand, head of asset management for the Asia Pacific at Fidelity International has been quoted as saying by the Guardian:
“The sharp sell-off in the US has likely caught no one by surprise. If anything, investors have been wondering how, in the face of the tighter monetary policy, a contracting labor market and rising oil prices, the US has continued to be so resilient.”
With the stock market rising for the past 18 months, according to experts, this market madness is not to be overly concerned about.
However, Asian markets have more reasons to worry about including the global trade war, strengthening the dollar and the potential slowdown of economic growth.
Now, with the way the stock market crash led to the fall in Bitcoin and crypto market as well, it does put a dent in expecting Bitcoin to become the safe haven when people ran from traditional markets and investments.
A blockchain enthusiast, my expertise extends to marketing and advertising through which I was able to help a few notable startups in generating initial traction. Follow me on Twitter at @abhinavagrwl94 and reach out to me at abhinav[at]coingape.com