Amidst the uncertainty affecting the global financial market, the price of Bitcoin is rising as stocks and the dollar fall.
For a long time, much of the crypto community has promoted the theory that Bitcoin is an active reservoir of value. Well, crypto currency would not have such a level of correlation with the traditional financial market, as to be affected by its cyclical collapses. For this reason, analyst Scott Melker highlights in the day’s Tweet that the Bitcoin is rising while stocks are falling for the second day in a row:
Bitcoin Price Targets 12K
Bitcoin is not affected by actions
For many, Bitcoin is the asset of the future. An important sector of the crypto community argues that the price of crypto does not have a direct relationship with the traditional financial markets. This means that when the value of the markets is affected by political, social or economic uncertainty, the price of BTC is maintained or even increased.
Thus, although many consider that the quality of Bitcoin as an active reserve of value would be more of an aspiration than a reality. Cryptomoney is still often compared to gold. It’s the ultimate reserve asset of value, and the main alternative to buying traditional assets such as stocks and bonds in the markets.
Bitcoin price rises as stocks and dollars fall.
This is a vision that seems to be confirmed in the last few days. Well, while Bitcoin has restarted its upward route, at the time of writing it stands at $12,191 per BTC. The shares and the dollar have been affected by the economic uncertainty generated by the upsurge in COVID-19 cases. And the possible consequences of the US elections.
„Day 2. Stocks are down, the dollar is down, Bitcoin is up. We haven’t seen this in a long time.
Thus, with this message sent through his Twitter account, Scott Melker would show how Bitcoin’s performance seems to be going against the general state of the financial market. This could lead to a new defense of the Bitcoin thesis as an active reserve of value, for times of uncertainty like the one we are currently going through.