The price of bitcoin in the first half of September 27 was above $20,000.
Bitcoin, which price was momentarily approaching the value of $19,000 on September 26, rose above $20,000 in the first half of September 27. This happened against the background of the fact that at the end of September 26 (the end of trading was 22:50 Moscow time), the key Wall Street indices went into minus: Dow Jones and S&P 500 fell by more than 1%, Nasdaq Composite lost 0.6%. Bitcoin, on the other hand, was up 5.9% on the day on September 27.
Notably, over the past seven days, the three key stock indicators of the world’s largest stock market have lost an average of 5%, while bitcoin has gained 4% over the same time. This shows that in this time frame, bitcoin has been able to interrupt correlation with the change in the same Nasdaq Composite: such a 40-day correlation is now at its lowest value since January of this year.
One of the reasons why the bitcoin price is so stable and even able to move up when most Wall Street investors are selling off financial assets is that earlier in the week the investment community around the world found that there was a strong devaluation of previously stable monetary units. For example, the British pound sterling was at an all-time low against the U.S. dollar, $1.0326/lb, thereby increasing the devaluation since the beginning of the year to -25%. Both the euro and the Japanese yen are now at their lowest values against the U.S. dollar in 20 years.
In such a situation, investors who have these currencies or financial assets denominated in these currencies in their portfolios would prefer to move into U.S. dollars and U.S. securities. However, the pessimism of investors can be felt in New York, which means that European and Japanese investors began to look for the use of their assets and began to sell them gradually, investing the funds received including bitcoins and other digital assets.
As a result, in the last 24 hours, the capitalization of all digital assets jumped 6.58% to $971 billion, and the low level of bitcoin dominance in the market (39.8%) indicates that altcoins are now in marked demand.