The correlation between stock markets and Bitcoin (BTC-USD) resumed after it fell from the $30,000 ceiling. After trading at $25,600 for a summer low, BTC is clawing back. Stock markets are trying to shift to a risk-on sentiment. This increases the attractiveness of the biggest cryptocurrency.
Binance coin, Ethereum (ETH), and XRP are among the cryptos bouncing back from their low. Binance fell to $205.15 on Aug. 22 before closing recently at $216. The near-term volatility may not last. Markets are at the quietest period of the year. Low liquidity and trading volumes often lead to random price changes.
On Nasdaq, Marathon Digital (MARA) and Rio Platforms (RIOT) lost half their value in only a month. Bearish bets against them are high. The short float is 27.5% and 16.88%, respectively.
Bitcoin investors should watch treasury yields closely. When yields fall, it lifts technology stocks and BTC. The trading volume for BTC is too low to decipher its next move. This could keep BTC below $30,000 for a while longer.
The sentiment is highly bearish for crypto miners. In addition, the selling pressure for Coinbase (COIN) resumed, after shares traded as high as $110. The profit-taking on COIN, MARA, and RIOT will continue as long as Bitcoin is not bouncing back to $30,000.
