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After a year of strongly correlated moves with the S&P 500 index correction, the last few days have seen the beginning of a long-awaited decoupling point in Bitcoin amid a growing uncertain macro environment. Over the past few weeks, Bitcoin has risen 34.86% while the market-based index of gold, S&P 500 and U.S. Treasury debt for 20 years or more (TLT) has been in all negative territory.
Although a data point does not give us statistical evidence that this narrative is now new normal, every market critic will see it today, because Bitcoin sees life as an asset that can gain momentum in a time of growing anxiety and volatility in the market. .
During the great macroeconomic uncertainty, the price action of Bitcoin is at least significant, with very clear vertical savings in the spot market.
What makes Bitcoin’s price action even more impressive is that it is happening at the same time as a declining global production of projected domestic products. Using the Atlanta Federal Reserve as an example, their 2021Q3 GDP estimate fell 6.3% to 1.3% in just 70 days. The monetary and monetary policy offered in the market does not seem to have the same stimulating effect on economic energy.
This is not a US-specific issue. For China, “Goldman Sachs lowered its economic growth forecast for China for 2021 from 8.2% to 7.8%, as energy shortages and deep industrial production declines add to the“ significant negative pressure ”.
While it is true that Bitcoin remains largely an incomplete asset, in times of risk, Bitcoin histor is not historically resistant because the strength of the US dollar means the weakness of the BTC / USD pair, which is why recent developments are so bright.