Bitcoin Up, US Economy Down! BTC Seems Unbothered by Recession
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The Bitcoin price is surging even though the recession is raging in the economic market

Bitcoin price has constantly been plummeting and is facing a hard time keeping up with the US$23,000 mark. Analysts are keenly watching the signs and are awaiting for this rally to turn bullish. Nevertheless, Bitcoin’s recent spike indicates that it really does not care much about the recession. The ongoing recession is now a part of some of the most critical economic discussions. The current gross domestic product report indicated that the US economy continued to shrink consecutively for the second quarter, and experts are terrified of the circumstances that are about to undertake the markets. The ongoing recession has had a significant impact on cryptocurrency trading, which vastly affects Bitcoin. When the BTC price plummeted, it brought down the entire crypto market with it. For quite a long period of time, the crypto kept dangling between the stiff range of US$19 to US$22k. Nevertheless, BTC’s overall growth during the ongoing recession has been quite commendable and ensures that this price rally is not a farce.

Initially, when the market collapsed, the BTC trading volume also declined majorly. According to reports, the total crypto trading volume declined by a landslide a result of which crypto businesses are still suffering immaculately. Several exchanges and hedge funds have already filed for bankruptcy, at the end of which, investors are enduring more financial losses. The significant volatility for equities and cryptocurrencies has spooked investors, who are fleeing the investment market. But even after facing major adversities, Bitcoin has recorded a trading volume at least double the size of some of the major tech companies in the world.

 

BTC Remains Untethered Even Under Immense Pressure

Bitcoin remains immensely steady amid constant minor dips in its prices within the past couple of days, as sellers dominated the market. The BTC trend has finally broken out of the descending channel pattern and is now retesting its resistance levels. Experts predict that Bitcoin’s next resistance level might revolve around the US$32,000 mark. Soon, we might be able to witness the token’s price movements marching towards the US$25k resistance.

Bitcoin continues to remain a lucrative investment asset for those who still possess the risk appetite and can endure financial losses. Even though anticipation and speculation around the Ethereum Merge upgrade have spiked almost all major cryptocurrencies, volatility persists. Buying this dip would be a good strategy since Bitcoiners and other crypto fanatics continue to believe that cryptocurrencies are the future of the financial and economic markets, but investors should be extremely cautious before investing in any cryptocurrency at this point, especially Bitcoin.

 

Bottom Line

Quite notably, Bitcoin has managed to maintain an impressive trading volume, despite the fact that the cryptocurrency is undergoing a significant sell-off in recent months. There are several factors that have led to the massive fallout in digital assets. In May 2022, Terra’s stablecoin, UST de-pegged from its US$1 value and triggered investors to flee the market, taking down the entire LUNA ecosystem. But finally, the crypto market is recovering and, in turn, is giving new hopes to the investment community. But it seems like the mainstream economic and financial markets will take some time to recover since inflation and other degenerating economic factors are about to stay for a while.