Katie Stockton News

Bitcoin retook the $57,000 level for the first time since late 2021, supported by investor demand through exchange-traded funds as well as further purchases by MicroStrategy Inc.

Economist Nouriel Roubini, who earned the “Dr. Doom” moniker for his warnings of disaster ahead of the 2008 financial crisis, is looking to become the latest high-profile Wall Street veteran to make their mark in the $9.4 trillion ETF universe.

Bitcoin (BTC) has broken free from its historical correlation with Nasdaq (NDX), with the 40-day correlation dropping to zero.

Amidst ongoing discussions about the trajectory of Bitcoin's value, the cryptocurrency market is abuzz with speculation. 

The largest token was trading at 19,999 at 22.30 IST Sunday. That's after a two-day drop of 7.6%, moving in tandem with US stocks on Friday after Fed Chair Jerome Powell's speech at the Jackson Hole conference. The wider crypto market retreated Sunday, with the MVIS CryptoCompare Digital Assets 100 Index dropping 1% in its fourth straight day of declines. «Money is flowing out of risky assets. Crypto followed the sharp adjustment of the US stock market,» after Powell's remarks, said Cici Lu, CEO at Venn Link Partners. «Markets didn't like what he had to say and Bitcoin is resuming as a high-beta asset.» The $20,000 level acted as support for Bitcoin when it hit lows in recent months, but the cryptocurrency had worked its way higher in recent weeks. Before Saturday, it hadn't been below $20,000 since July 14, and had even crossed above $25,000 earlier in August.

Overall trading volume for spot and derivatives has fallen more than 15% since May to around $4.2 trillion across exchanges as cryptocurrency trading volumes have plummeted.

Bitcoin trades in "extreme fear", around Rs 23 lakh

Bitcoin extended this month’s losses in Monday trade as investors shied away from risk assets amid a more hawkish outlook for Federal Reserve policy tightening. The largest cryptocurrency slid as much as 3.3% to $38,223, the lowest since March 15, and down more than 20% from last month’s high. The second-biggest coin, Ether, slumped as much as 4.8% to $2,799, a level not seen since March 18. Price charts are signaling further declines are likely, technical analysts say. Bitcoin has dropped below its Ichimoku cloud support on a weekly chart, with secondary support only coming in around $27,200, said Katie Stockton, founder and managing partner at Fairlead Strategies. She isn’t alone in seeing more downside.

Bitcoin climbed above $41,000, advancing along with equities after China indicated it’s about to loosen monetary policy. The largest cryptocurrency rose as much as 0.6% to $41,500 on Thursday, gaining for a second day. Katie Stockton, co-founder of Fairlead Strategies LLC, said technical indicators she follows suggest Bitcoin could be due for a short-term bounce to as high as $51,000, assuming it can break through its 200-day moving average, which stands at just above $48,000. “We expect an oversold bounce and a higher low,” Stockton said.

Over the past two months, as global asset markets were whipsawed by an increasingly hawkish Federal Reserve and then Russia’s invasion of Ukraine, Bitcoin remained stubbornly in a range.

Bitcoin has largely remained unaffected by US Federal Reserve's hawkish stand and Ukraine crisis

The largest cryptocurrency was last up 2.5% at $37,250 after earlier dropping to $32,951, its lowest price since July 23. That took losses from its all-time high of $69,000 hit in November past 50%. Bitcoin is now at a critical juncture where analysts say that further selling could reverse its long-term bull trend.