According to the Novel York Digital Investment Group analyst (NYDIG), cryptographic markets were quite stable among the wider market panic caused by US President Donald Trump “on -again, of -again” global tariffs (Nydig).
“Despite the slaughter in traditional financial markets, cryptographic markets were relatively ordered,” Nydig Global of Research Greg Cipolaro he said In the note of April 11. “Historically, during broad risk movements, we see that stress appears in cryptographic markets. We don’t see it yet.”
Cipolaro said that the Crypto Perpetual Futures Futures rate “were persistently positive,” and the liquidation increased on April 6 and 7 on the days after Trump announced the tariffs on April 2, but only up to $ 480 million, which he added that “he was much below other significant liquidation events.”
He noticed that the price of Tether (USDT), Stablecoin tracking the American dollar widely used in cryptographic trade, was below 1 USD, but “did not have a violent decline.”
Trump presented a wide tariff system on April 2, which dropped various fees in each country before he stopped them for 90 days only a few hours after they entered into force on April 5, and instead charged a basic tariff of 10%, except China, which currently has tariffs up to 145%.
Customary and cryptographic markets refueled after Trump’s tariff announcement on April 2, and many assets did not regain the same level as before their unveiling.
Actions, bonds and indicators of currency variability all increased after the announcement of Trump tariffs. Source: Mean
At the weekend, the Trump administration caused more confusion with tariffs, on April 13 that the decision of April 11 to release many electronics from the tariffs was momentary and will still be affected by fees.
Bitcoins are doing well, decreasing variability to make it very attractive
Cipolaro said that Bitcoin (BTC) did not escape from market variability, “but at current prices it was doing much better than many other classes of assets.”
He added that Bitcoin’s volatility did not escalate to historical levels, unlike classic markets, and “was relatively stable” despite the instability initiated by the Trump administration.
“Perhaps investors are increasingly looking for shops with values that are not related to sovereign countries, and therefore do not affect commercial confusion.”
Bitcoin fell by 22.5% compared to the peak in mid -January above USD 108,000 and traded flat in the last 24 hours for USD 84,730, According to To Coingecko.
Cipolaro said that the narrowing difference between Bitcoin variability and other assets makes it “increasingly attractive” for funds with a portfolio of risk parity – those that employ the risk of choosing assignments.
He added that investors probably reduce risk exposure, but “perhaps a certain realocation of a mixture of Bitcoin assets is one of the reasons why it was more fluid.”
Related: S&P 500 sees briefly “at the Bitcoin level” among the Trump’s tariff war
“Risk parity funds allocation to Bitcoin can help weaken its volatility – making a more attractive resource and potentially strengthening the virtuous cycle of increased acceptance and stability,” said Cipolaro.
However, the head of the Youngler Ruslan Liekha markets told CointeLgraph in the note on April 12 that despite the wider market reflection, “technical indicators paint regardless of the image.”
He said “Death Cross” when the 50-day movable average is exceeded below the 200-day movable average, potentially forms on Bitcoin and S&P 500.
Lienkha said that the pattern is “generally considered bear for medium -term, which suggests that markets can fight to keep the rush up without a clear catalyst or stream of positive macroeconomic development.”
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