Bitcoin (BTC) has shed 6% in a week thanks mainly to Chinese New Year and uncertainty over coronavirus, commentators are suggesting.<\/p>\n
Analyzing Bitcoin price data along with Chinese stocks performance on Jan. 24, social media resource Light said a slump in performance had spread to cryptocurrency.<\/p>\n<\/p>\n
Cryptocurrency market daily overview. Source: Coin360<\/p>\n
Over the past several days, it notes, Bitcoin has in fact broadly correlated with stocks. Such behavior is reminiscent of what many perceived as a reaction to another global event the Iran crisis earlier this month.<\/p>\n
China coronavirus-driven risk-off blanketing Chinese equities and Bitcoin. Iran correlation, now Chinese equities, Light commented.<\/p>\n
The analysis summarized:<\/p>\n
If there was ever a statement to the effect, Bitcoin has now made it to the global stage.<\/p>\n<\/p>\n
Bitcoin vs. Chinese equities. Source: Light\/ Twitter<\/p>\n
Coronavirus continues to spread beyond China, despite authorities attempts to contain it by imposing travel bans and boosting healthcare provision.<\/p>\n
BTC\/USD has lost just over 6% in the past seven days and at press time trading at $8,300. The virus factor comes at a sensitive time historically, data reveals, with Chinese New Year traditionally creating sell pressure for Bitcoin.<\/p>\n
Compiled by trader and analyst Alex Krueger, figures circulating on Twitter show that in the run-up to the celebrations, Bitcoin returns often turn out negative.<\/p>\n
In 2019, they averaged around -0.2% losses for the week prior, but Krueger himself appeared unperturbed by the results.<\/p>\n
Nothing special, he summarized on Jan. 22.<\/p>\n
As Cointelegraph reported, critics have protested against the theory that Bitcoin price action is directly influenced by geopolitical or other world events.<\/p>\n
Nonetheless, issues involving China tend to impact the market conspicuously, against the backdrop of a blanket crypto trading ban imposed by Beijing in 2017. The country still accounts for the majority of Bitcoin mining activity.<\/p>\n
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Nothing Special Bitcoin Slumps 6% on Coronavirus, Chinese New Year - Cointelegraph<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Bitcoin (BTC) has shed 6% in a week thanks mainly to Chinese New Year and uncertainty over coronavirus, commentators are suggesting. Analyzing Bitcoin price data along with Chinese stocks performance on Jan Continue reading