Bitcoin (BTC) is facing challenges as it failed to maintain levels above $85,000 on March 14, raising concerns among traders about the ongoing bull market and the duration of selling pressure. Despite a 30% drop from its all-time high of $109,354 on Jan. 20, Bitcoin’s derivatives metrics are showing resilience. The Bitcoin basis rate, indicating the premium of monthly contracts over spot markets, has rebounded to healthy levels after briefly signaling bearish sentiment on March 13. This recovery is crucial as traders typically seek a 5% to 10% annualized premium to offset longer settlement periods, and a basis rate below this range signals weak demand from leveraged buyers. While the current 5% rate is lower than the 8% recorded two weeks ago, it remains within neutral territory. The correlation between Bitcoin’s price action and the S&P 500 indicates that market factors impacting investor risk aversion may not be directly linked to Bitcoin. However, if Bitcoin’s price continues to rely heavily on the stock market, which is under strain due to recession fears, investors might reduce exposure to risk-on assets in favor of short-term bonds. Central banks are expected to implement stimulus measures to prevent a recession, potentially benefiting scarce assets like Bitcoin. Despite recent panic selling of risk-on assets, Bitcoin is anticipated to reclaim the $90,000 mark once the S&P 500 recovers from its recent losses. With no signs of stress or bearishness in Bitcoin derivatives and margin markets, the resilience in investor sentiment suggests a potential uptrend for Bitcoin price in the near future.<\/p>\n","protected":false},"excerpt":{"rendered":"
Bitcoin (BTC) is facing challenges as it failed to maintain levels above $85,000 on March 14, raising concerns among traders about the ongoing bull market and the duration of selling pressure. Despite a 30% drop from its all-time high of $109,354 on Jan. 20, Bitcoin’s derivatives metrics are showing resilience. The Bitcoin basis rate, indicating […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[25],"tags":[],"aioseo_notices":[],"featured_image_urls":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":""},"author_info":{"display_name":"","author_link":"https:\/\/vanillanews.com\/index.php\/author\/"},"category_info":"JUST IN<\/a>","tag_info":"JUST IN","comment_count":"0","_links":{"self":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/65596"}],"collection":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/comments?post=65596"}],"version-history":[{"count":0,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/65596\/revisions"}],"wp:attachment":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/media?parent=65596"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/categories?post=65596"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/tags?post=65596"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}