How Bitcoin Could Break to New Lows (and How It Can Avert It)

Bitcoin prices haven’t been excluded from the recent selloff. 

While the S&P 500 is working on its third straight weekly decline, bitcoin is trying to avert its third straight weekly drop.

Cryptocurrencies proved to trade well in anticipation of high inflation, but it was likely the correlation with high-growth stocks and risk-on assets that powered the run higher.

Bitcoin prices exploded after the 2020 covid-19 selloff but have since performed the way growth stocks have. 

Prices fell 75% and bottomed in mid-June, just as many growth stocks did earlier this summer. Now, bitcoin has been moving lower again and some investors fear that a painful crypto winter could be on the horizon.

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