Bitcoin is back below $30k following a record 8 weeks in the red
On Monday, Bitcoin separated from stock markets to the negative, after its ninth consecutive week of losses.
Bitcoin failed to maintain the $30,000 mark on Monday, after its first-ever eighth straight week in the negative.
According to TradingView statistics, bitcoin has lost nearly 35 percent of its value in U.S. dollars during the last eight weeks, which started in late March and finished on Sunday. Prior to the start of the losing skid, BTC was trading for around $46,800.
Bitcoin has suffered eight straight weeks of losses for the first time in its history, and it begins the ninth week with yet another red candle. The image was sourced from TradingView.
Bitcoin trades for significantly less than $30,000 at the time of writing. The peer-to-peer currency reached a high of $30,600 earlier on Monday and is now trading at $29,400 as New York’s equities markets approach closing.
While bitcoin declines, key U.S. stock indexes have been in positive territory. According to TradingView data, the Nasdaq, which is supposed to be closely connected with bitcoin, dissociated from the digital currency along with the S&P 500 to indicate small gains towards market close on Monday.
While bitcoin, the Nasdaq, and the S&P 500 were trading in tandem for most of Monday, a strong sell-off decoupled the P2P currency from the two indexes and caused it to lose more than 3 percent on the day. The image was sourced from TradingView.
A YEAR OF STRESS FOR BITCOIN
Despite achieving two new all-time price highs in 2021, bitcoin has already lost virtually all of these gains in 2022.
As the Federal Reserve tightens the U.S. economy, removing liquidity from the market after almost two years of quantitative easing, economic uncertainty has contributed to Bitcoin’s bumpy trading performance so far this year.
The central bank has already hiked its key interest rates twice this year, with the most recent increase being double the size of the previous one and the greatest increase in two decades. In March, the Fed boosted interest rates by 0.25 percent; earlier this month, it raised them by 0.50 percent.