Bitcoin Rockets Toward $50K Amid U.S. Stock Losses – Crypto Market Roars Back

• Bitcoin’s price is on a rampage, a deviation from the US Stock market with corrections.
• With Bitcoin ETF and Halving in view, a more bullish resurgence lay ahead of the coin.

The digital currency ecosystem is back on its bullish run as Bitcoin (BTC), the industry’s clear leader, has jumped above the $44,000 price mark. While Bitcoin is seeing intense volatility at this time, Bitcoin’s performance has shown the digital currency has decoupled from the United States Stock market which closed its Wednesday trading session lower.

Bitcoin and Stock Market Outlook

Per market data, the S&P 500 Index which tracks the biggest 500 stocks per market capitalization in the country slumped by 1.42% bringing its value to 4,729.95 at the time of writing. The Dow Jones Industrial Average also dropped by 0.58% to 37,297.32 while the tech-heavy Nasdaq Composite stayed flat at 14,885.66.

While Bitcoin is currently priced at $43,844.6 after jumping 2.4% at the time of writing, its trading volume has shown the growing optimism surrounding the coin which is up 3.2% to $26,105,504,589. 

Bitcoin’s rally has impacted almost all altcoins positively with Ethereum (ETH) changing hands at a price of $2,236.28, up by 0.58% in the past 24 hours. Unusual for the holiday season, Bitcoin and Ethereum are signaling the birth of a new era of strategic cool-off in the network’s Relative Strength Index (RSI) metric to accommodate a new growth push.

“This week has witnessed a sideways trend, with bitcoin moving between $40,500 and $43,500 and ether between $2,150 and $2,250,” said Rachel Lin, CEO and co-founder of SynFutures. “Both these coins and the broader market are consolidating near their recent highs following a rapid increase in value during November.”

According to Lin, “One notable effect of this sideways movement is the cooling down of RSI, which, two weeks ago, was in highly overbought territory. Bitcoin’s weekly RSI stands at around 75, down from 82 at the beginning of the month.”

Bitcoin ETF and Halving Sentiments

While Lin dwelt on how the technical indicators have shaped the price trend of Bitcoin, key fundamental sentiments bordering on the anticipation of spot Bitcoin Exchange Traded Fund (ETF) products and the BTC Halving event are also worth considering.

Over the past few weeks, there has been an intense but positive conversation going on between the US Securities and Exchange Commission (SEC) and major Bitcoin ETF applicants like BlackRock, Fidelity Investments, and Ark Invest as an effort to finalize key technical details on the proposed product is made.

With BlackRock shifting grounds to accept the SEC’s “Cash Creates” redemption model that prioritizes cash over Bitcoin, analysts are optimistic that this move might remove the friction among the parties involved and possibly fast-track the approval of the Bitcoin ETF.

The Halving event which takes place once in four years is also billed for April 2024. Naturally, this event bolsters the attractiveness of BTC by shrinking its emissions by 50%. In all, the revival in Bitcoin’s price at this time hinges on these key bullish fundamentals, and hope abounds that these factors can catalyze the yet-to-be-harnessed bull cycle.