For the 10th consecutive session bitcoin prices are trading largely unchanged as volatility in the world’s largest digital currency continues to fall.
In Thursday trading a single bitcoin
was going for $6,436.58, down 0.5% since Wednesday at 5 p.m. Eastern Time on the Kraken exchange.
Yet, as bitcoin continues to tread water, equity markets are in the midst of a volatile patch. On Wednesday, major indices, including the Dow Jones Industrial Average
and the S&P 500
wiped out their gains for 2018 as global growth concerns have investors re-evaluating stock prices versus bond yields. However, on Thursday, stock markets had turned it around, and by mid-afternoon trading major indices had clawed back more than half of Wednesday’s losses.
This stability in the crypto market has proponents—not for the first time—championing the case for the nascent technology in a traditional portfolio. “The fact that the current stock market rout has not had any effect whatsoever (positive or negative) on the cryptoassets is an extremely positive sign,” wrote Mati Greenspan, senior market analyst at eToro.
“This is a prime example of how crypto’s are uncorrelated and it only serves to increase their use case as a powerful tool for asset management.”
Since the spike higher on Monday, Oct. 15, bitcoin hasn’t traded above $6,500 or below $6,300, which has seen the bitcoin 30-day volatility index plummet below 2%, down from 8% to begin the year, according to data from BuyBitcoinWorldwide.
Altcoins, the collective group of digital currencies other than bitcoin, are marginally lower Thursday. Ether,
the second-largest digital currency was down 0.8% at $199.69, Bitcoin Cash
was off 0.3% at $437.60, Litecoin
was down 0.6% at $51.69 and XRP,
was down 0.9% at 45 cents.
Bitcoin futures finished Thursday in the red. The Cboe Global Markets November contract
closed down 0.4% at $6,390, while the CME Group October contract
finished the session down 0.3% at $6,405.
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