The cryptocurrency may not keep up with the stock market bulls at the end of the week. Despite increased risk appetite in global markets, bitcoin is losing out. This is because of internal problems within the industry and the systemic risks posed by the collapse of the FTX exchange and the Alameda Research Fund. BlockFi joins the ranks of those at risk today, withdrawals were halted:
- The head of Binance exchange and the richest of the ‘crypto billionaires’, Chanpeng Zhao, pointed out that cryptocurrencies are facing an internal crisis comparable to the one Wall Street experienced after the bankruptcy of Lehman Brothers in 2008.
The bearish divergence can be seen very clearly when we combine bitcoin with NASDAQ contracts:bitcoin, lag M15. The leading cryptocurrency is losing correlation with the US stock market (US100, Gold Line) and is trading down around $16,600 despite positive sentiment in global stock markets. Source: xStation5
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