Maximize Your Crypto Market Profits With ProEX Bull & Bear Support Campaign

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Last Updated on November 5, 2022 by Bitfinsider

The price of bitcoin is once again reaching six-week highs, and BTC is still aiming towards $21,000. The cryptocurrency markets are booming for the following three reasons.

Is this the beginning of a trend change given that Bitcoin has maintained its gains after reaching six-week highs?

BTC/USD is stubbornly clinging to the top of its multi-month trading range despite having crossed $21,000 twice over the previous week.

Due to the United States Federal Reserve’s remarks on interest rates and the prognosis for the economy, the upcoming week is expected to bring a fresh dose of volatility.

On the crucial date of Nov. 2, these are the highlights to take note of: Decision on key rate hikes, comments and economic projections, and lastly, speech from Fed Chair Jerome Powell.

Although there are divergent views on whether Bitcoin can withstand the heat, recent liquidations broke records for 2022, leaving the market in shock.

If prices rise higher, traders may need to reconsider their assessment of Bitcoin’s weakness during the quarter that many believed would see BTC/USD capitulate to new global lows.

According to data from CoinMarketCap, the total value of the cryptocurrency industry has now surpassed $1 trillion once more.

The Fed might reconsider raising interest rates

The worst-case scenario for risk assets was unshakable policy maintaining the U.S. dollar strong and rates racing higher for the foreseeable future.

However, over the past week, the effects of that strategy have spread to other economies, particularly Japan, which frequently intervened in its exchange market to support the faltering yen.

As the Fed runs out of options, speculation is growing about the likelihood of rate increases. After the increase next month, there are indications that the policy may start to reverse, making lesser increases in consecutive months before doing so completely in 2023.

Markets are therefore reacting favorably to any indication that the Fed is getting ready to moderate its hawkish attitude after a year of Quantitative Tightening.

Volatility in bitcoin breaks records

This month, the volatility of Bitcoin even decreased below that of certain significant fiat currencies, making BTC appear more reliable than risky.

Analysts had long predicted that the trend would experience a violent shift, and the cryptocurrency markets did not disappoint.

The Bitcoin Historical Volatility Index, which has lately reached multiyear lows seen only a few times, indicates that Bitcoin still has a ways to go before giving up this trait.

A fresh start is in sight for the US currency

After a parabolic climb during the entirety of 2022, the U.S. dollar is only now showing indications of weakening.

Recently, the U.S. dollar index (DXY) reached its best levels since 2002, and momentum may return to propel it farther higher – at the expense of risk assets and major currencies alike.

In the meantime, the DXY is under pressure, and its decline coincided with a return to form for Bitcoin and alternative cryptocurrencies.

This highlights a problem that Bitcoin bulls are eager to eliminate: a persistently strong correlation with traditional markets and an inverse correlation with the dollar. 

According to trading firm Barchart, Bitcoin’s correlation with gold is now approximately 0.50, up from 0 in mid-August.

ProEX’s “Bull & Bear ETF Contest”: Stand to win up to 50000 USDT

ProEX is the world’s leading multi-contract trading platform, provides bitcoin and various cryptocurrencies, perpetual contract trading, ETF and other digital asset trading functions, Staking Pool services. ProEX is also committed to creating a better trading environment for their clients. Thus, ProEX has launched a campaign event to encourage users to trade during this season of bull market.

You can choose your team during the event duration and must trade at least two transactions (of any value) to be eligible for the prize. The chosen currency will be divided into two teams (Team Long and Team Short).

Following the event, the two teams’ combined transaction amounts will be compared, and the team with the highest combined transaction amount will win the corresponding prize in the table.

The designated trading pairs of the two teams are as follows:

Prize Table:

Event Duration: (UTC+8) 11/04 00:00 ~ 11/19 23:59

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Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, legal, tax or other advice. Investing in or trading cryptocurrency or stocks comes with a risk of financial loss.