Bitcoin (BTC) surged 5% on April 4, briefly exceeding $69,400, despite the plunge in the U.S. stock market, demonstrating its growing status as a safe haven asset.
As of press time, the flagship cryptocurrency is trading between $67,500, having given up more than half of its gains after the dollar index recovered from its decline on the day.
Total liquidation volume in the last 24 hours was $199.2 million, with buy transactions accounting for more than half at $109.4 million. Meanwhile, Bitcoin-related clearing amounted to $67.3 million, and short selling reached $41.8 million.
Most altcoins have failed to mirror Bitcoin’s recovery. Ethereum (ETH) was down about 1% on the day to $3,283, while Solana was down 2% to $181.7 at press time.
BNB showed relative strength and was trading at $587, up 5% in the last 24 hours.
Safe haven?
The decline in stock indexes, with the S&P 500 and Nasdaq each retreating nearly 1% from their session highs, was particularly influenced by remarks by Minneapolis Federal Reserve Bank President Neel Kashkari during a LinkedIn virtual event.
He expressed skepticism about the pace of the Fed’s interest rate cuts amid persistent inflation, a departure from the more optimistic tone Fed Chairman Jerome Powell had previously expressed about the possibility of a rate cut this year.
This difference in views within the Fed has highlighted the ongoing debate over the best approach to tackle inflation while spurring economic growth, sparking a swift reaction in the stock market.
Meanwhile, Bitcoin’s rise has served as a reminder of its perceived value among investors as a digital safe haven, especially during times when traditional markets are unstable and monetary policy is uncertain.
Bitcoin holds on to gains despite carnage across cryptocurrencies, stocks after Minneapolis Fed comments appeared first on CryptoSlate