As the price of bitcoin approaches $30,000, its correlation feels like 100%

Bitcoin has been stuck between $30,000 and $31,400 for weeks on end, leaving traders frustrated. The Wall Street open on June 9 revealed an ongoing stocks correlation, which Bitcoin (BTC) exploited.BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

The trader sees “relief” from the US CPI print, as evidenced by Cointelegraph Markets Pro and TradingView data. The BTC/USD pair appears ready to lower as the S&P 500 also opened with modest losses. Following periods of volatility, which were both hazardous for long and short traders alike, the pair had stayed in a tight range through June 8.

The release of U.S. jobless claims data had little impact on the market, with the main event being CPI data due June 10. After data from Europe indicated that inflation was slowing down, van de Poppe predicted that the reading, which covers May, would not exceed April’s figure.

The market’s present price suggests that investors expect a correction to the downside is coming. In fact, most traders believe that the bitcoin market has just started moving in one direction and will continue to trend down for the time being. The only thing we need now is a few more people joining our cause and making it possible for us to carry on doing what we’re doing!

Since May 9, BTC/USD has been focused on the $30,000 mark, with only the immediate aftermath of the Terra LUNA collapse interrupting its surrounding territory.

According to a strategist, the BTC price is projected to reach $4,800 by the end of 2020. While some had previously predicted a fall as low as $14,000 or worse, others remained confident that May was more indicative of a macro floor. Van de Poppe had previously called for predictions of $12,000 “insane.” Meanwhile, Trader_J on Twitter compared present pricing action to the bear market and cross-crypto crash of March 2020 in 2018.

The Federal Reserve Bank of St. Louis has published an interactive graph that shows the probability for Bitcoin’s Risk Metric, a metric created by crypto quant analyst Benjamin Cowen, to confirm his hypothesis.

BTC/USD annotated chart with Risk Metric. Source: Trader_J/ Twitter

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