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BTC consolidated at two-month low, US.indices rally as Fauci “encouraged” by Omicron data [Video]

Bitcoin prices consolidated at 2-month low

Bitcoin prices were down by as much as 20% over the weekend, as investors pulled back from cryptocurrencies, amid concerns over the Omicron variant. 

BTCUSD fell to as low as $42,000 during this weekend’s trading, a level it hasn’t hit since October 5th.

Markets have since stabilized, with prices now at the long-term resistance of $49,000, with many still expecting further declines.

The drop began after a weaker than expected Non-farm payrolls number on Friday, which coincided with raising fears over Omicron.

As such, investors moved away from crypto’s and into indices, which is one of the reasons for today’s stock market rally.

However, many long-term crypto investors have viewed this recent selloff as an opportunity to “buy the dip”, which has helped to keep prices from further declines.

U.S. indices rally, as Fauci “encouraged” by Omicron data

Indices in the United States started this week strong, as traders reacted to encouraging comments from Dr.Fauci regarding Omicron. 
 
Speaking over the weekend, the Chief Medical Advisor stated that, “Though it’s too early to really make any definitive statements about it, thus far it does not look like there’s a great degree of severity to it”.

Fauci went on to add that, “Thus far, the signals are a bit encouraging. But we have really got to be careful before we make any determinations that it is less severe, or it really doesn’t cause any severe illness, comparable to Delta”.

Markets rallied on the news, led by the blue-chip  Dow Jones which was up 2.16% as of writing.

Both the S&P 500 and NASDAQ were also trading above 1% higher.


 

Author

Eliman Dambell

With over a decade in financial markets, Eliman brings an experienced and diversified point of view to market analysis. He covers current and historical macro trends to give insights on Metals, FX, Stocks, and Crypto.

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