Bitcoin’s price has risen dramatically in the last 24 hours, indicating an apparent, relatively brief decoupling from traditional financial markets.
The Russian invasion of Ukraine intensifies, with warfare raging across the country’s biggest metropolitan. The European Union, the United States, and other geopolitical heavy hitters from across the world sanctioned Russia as part of the counter-measures, pledging to cut off key banks from the SWIFT system, triggering economic chaos and rumoured bank runs in the nation.
During this time, the Bitcoin-Ruble transaction volume reached levels never before seen in May 2021. Last night, the price of Bitcoin soared, but futures indexes were cautious, suggesting an intriguing short-term decoupling.
The price of bitcoin has risen to $44,000:
The cryptocurrency market has been extremely volatile in the last 24 hours, but thankfully, this time for the better.
The majority of the charts are green, with BTC leading the way with a one-day gain of 13%. The Bitcoin rose to a little beyond $44,000. This resulted in nearly $300 million in liquidations, and the daily gain in the BTC price was the largest since February 2021.
The whole cryptocurrency market soared by about $200 billion in a single day due to this growth. Interestingly, at the time of writing, BTC and the altcoins are rather dissociated from what is happening on traditional futures markets.
Futures on Wall Street are hesitant:
In the last 24 hours, major futures indexes have been flat, possibly due to the ongoing uncertainty surrounding the conflict between Ukraine and Russia.
S&P 500 futures are down 0.24 per cent, Dow Jones Industrial Average futures are down 0.49 per cent, and Nasdaq (IDX) futures are flat.
This decoupling occurs as the Bitcoin-Ruble trade volume reaches levels not seen since May of last year. Fears of the impact of escalating economic sanctions on Russia look to be growing, and many are turning to cryptocurrency as a possible option.
