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Bitcoin Started Moving in Sync With S&P 500, Volume Dropped, Kraken Says in June Volatility Report
According to the crypto exchange’s report, June was the most uneventful month for Bitcoin (BTC) trading since February and was marked by a reversal in correlation trends with gold and the S&P 500.
Updated Sep 14, 2021, 9:29 a.m. Published Jul 9, 2020, 5:54 p.m.
A 31% drop in month-over-month trading volume in June drove bitcoin’s annualized volatility to a six-month low, according to a recent report by the cryptocurrency exchange Kraken.
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- According to the report, June was the most uneventful month for trading since February as a lack of market activity brought down trading volume to a four-month low of $36.6 billion.
- In light of the subdued market and low volatility, bitcoin saw a price drop of 4.4%, the lowest monthly change since August last year.
- The report also found that in a reversal of trends from earlier this year, bitcoin’s 30-day correlation with the S&P 500 turned “substantially more positive” and climbed to 0.65 in late-June.
- In the same month, bitcoin’s 30-day correlation with gold slipped below the 1-year average and hit a low of -0.49.
- According to the report, bitcoin’s reversal in correlations with gold and S&P 500 made it behave less like a safe-haven asset and more like a traditional financial asset amid a global stock market recovery during June.
- The report says market participants for bitcoin should now pay closer attention to the 30-day forward looking volatility index for the S&P 500 (VIX), and that if BTC is going to break the multi-year macro down-trend, it would need to climb above $10,500 and trigger an upward trend.
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Solana CME Futures Fell Short of BTC and ETH Debuts, but There's a Catch
When adjusted for asset market capitalization SOL's relative futures volume looks better, K33 Research noted.
Lo que debes saber:
- Solana's SOL futures began trading on the Chicago Mercantile Exchange (CME) on Monday, with a notional daily volume of $12.3 million and $7.8 million in open interest, significantly lower than the debuts of bitcoin (BTC) and ether (ETH) futures.
- Despite the seemingly lackluster debut, when adjusted to market value, SOL's first-day figures are more in line with BTC's and ETH's, according to K33 Research.
- Despite the bearish market conditions, the launch of CME SOL futures offers new ways for institutions to manage their exposure to the token, said Joshua Lim of FalconX.
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