Cryptocurrencies quieter after week of losses
Bitcoin stabilises after run of losses
While it was a tougher week for bitcoin it escaped the heavy selling seen in tech stocks. For the moment the longer-term bounce from August is intact, though cryptocurrencies are still lacking a broader catalyst, with the instinct to remain risk off among traders nervously watching the on-off geopolitical drama in the Middle East. Compared to the rout in tech things have been relatively muted, which suggests something of a safe haven appeal is developing.
What we’re watching – earnings, data & central banks
The week is full to bursting with events that could see significant movement in markets. There is plenty of potential for surprises and volatility, but a solid US GDP reading and good tech results are likely to provide the foundation for a risk recovery. The past month’s churn in stocks is more rotation than anything else, and a recovery in tech names should see cryptocurrencies boosted as well.
Author
Chris Beauchamp has been with IG for four years, and in that time has become a regular commentator and analyst for the financial press and TV, with appearances on all the major financial channels as well as the BBC and Sky News.
