Bitcoin Surges to $44.5,000 Amid New ‘Exceptionally High’ Equity Correlation Warning
Bitcoin (BTC) surged above $44,500 at Wall Street’s open on Feb. 15 as traders ratcheted up the excitement overnight.
Resistance Attacks Form Slowly
Data from Cointelegraph Markets Pro and TradingView tracked local highs of $44,543 for BTC/USD on Bitstamp.
Already up more than 6% on the day, the pair saw a slow return to resistance levels after abruptly interrupting a multi-day downtrend towards the $40,000 mark.
As Cointelegraph reported, events in Canada had appeared to spark a comeback, while news that Russia was potentially taking steps to de-escalate tensions on Ukraine’s border had no discernible impact on currency markets. cryptography.
Stocks were more relieved, with the S&P 500 up 1.4% in the first hour of trading.
“Bitcoin broke out of its bearish channel and reclaimed the 4HR range it lost just days ago,” Rekt Capital said hopefully. abstract in a new Twitter update of the day.
He added that on longer timeframes, Bitcoin was attempting to break the 50-week moving average to tip towards support.
“Turn it into support and it would confirm a bullish bias for BTC,” he wrote.
Not everyone was so confident, with the popular Johnny trading account requiring a reversal from the yearly open above $46,000 to avoid waiting to “buy back lower” than current levels.
Stock market risk meets purchasing power
Turning to on-chain data, the chart nonetheless called for “cautious optimism” based on buying behavior, despite macro risks.
Related: “Up only” for BTC fundamentals – 5 things to watch in Bitcoin this week
According to Twitter analytics account EconometricsInvestors large and small making BTC allocations countered potential pressure on Bitcoin from the stock’s tumble if the US Federal Reserve were to hike rates.
“Whales are buying. Small fish are buying. It’s all good for Bitcoin,” he wrote.
Analysts have pointed to “unusually high” stock correlation under the current circumstances, raising the potential for a deeper Bitcoin price correction should macro policy shift.
“That means anything that could crush the SP500 is also a big risk for BTC,” he added.