bt-crow.com
04 March 2022 07:06, UTC
Reading time: ~2 m
Today, against the backdrop of a difficult geopolitical situation, it can be noted that the S&P500 stock index follows a horizontal channel. The correlation between the rate of the first cryptocurrency and the shares of the stock market is sharply decreasing.
Bitcoin is on the rise right now. At this stage, many buyers of Bitcoin at $60,000 sold their coins at the time of the decline in value to $38-35,000. Due to this, the number of sellers putting pressure on the BTC rate has decreased, respectively, a further increase in the price is quite expected.
The increase in the Bitcoin exchange rate, regardless of the difficult situation in traditional markets, has become a reason to re-recognize the cryptocurrency as a safe asset that can save investments in times of crisis. Now this is especially true for citizens of the Russian Federation, since citizens’ bitcoins are not subject to confiscation, regardless of the sanctions imposed.
The maximum correlation between Bitcoin and the S&P500 was observed on February 22. On that day, the readings rose to 0.546, the highest ever recorded. To date, the figure has already fallen by 15%.
Now Bitcoin has all the conditions for further growth. But one of the special conditions may be the adoption of cryptocurrencies by state governments. This decision will help accelerate the growth in the value of the first cryptocurrency at times.
Cointelegraph reports that this is exactly the position expressed by the Australian Department of the Interior in the framework of the analytical study “Studying Cryptocurrencies”.
Quote from the study:
“There is a need for regulatory guidance that provides greater clarity and confidence in how the cryptocurrency market can operate in Australia.”
To regulate cryptocurrencies, states need to study four main points that will help ensure maximum security for the adoption of digital assets:
- Assigning minimum cybersecurity standards to crypto exchanges and firms that own cryptocurrencies.
- Increasing public awareness of cryptocurrencies. It is necessary to provide the public with the opportunity to educate and study the cryptocurrency industry, in particular cybercrime.
- Increase the transparency of crypto exchanges and blockchains. Analysts say:
“Educational programs with accurate, consistent messages will enable investors to better understand both investment and cybersecurity risks, while helping to demystify cryptocurrencies for all Australians.”
Also, during the study, new opportunities were noted that will open up to users after the introduction of cryptocurrencies. For example, the great potential of the blockchain for the tokenization of assets. such as loans and real estate.
The market situation today has once again proved to investors that Bitcoin can recover and grow in almost any world situation. This fact can attract a large number of new investors who will want to use cryptocurrency as a way to save and even increase their savings in turbulent times.
Author: Ekaterina, analyst Freedman Сlub Crypto News
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