{"id":562921,"date":"2020-07-30T18:00:21","date_gmt":"2020-07-30T15:00:21","guid":{"rendered":"https:\/\/en.ethereumworldnews.com\/?p=562921"},"modified":"2020-07-30T18:04:35","modified_gmt":"2020-07-30T15:04:35","slug":"its-a-tense-moment-for-bitcoin-btc-as-us-economy-shrinks-by-32-9","status":"publish","type":"post","link":"https:\/\/en.ethereumworldnews.com\/its-a-tense-moment-for-bitcoin-btc-as-us-economy-shrinks-by-32-9\/","title":{"rendered":"It’s a Tense Moment for Bitcoin (BTC) as US Economy Shrinks by 32.9%"},"content":{"rendered":"
Quick take:<\/strong><\/p>\n During the second quarter of 2020, the US economy has shrunk by a staggering 32.9%. According to reports<\/a>, this is the largest contraction of the US economy since the government started keeping records in 1947. The current decline eclipses the previous record of 10% set in 1958.\u00a0The contraction of the US economy has been linked to job losses due to the COVID19 pandemic as well as reduced spending as Americans tighten their belts ahead of what many believe is a recession.<\/p>\n Due to the news of the US economy shrinking by 32.9%, the S&P 500 has experienced a 2% drop from $3,264 levels to $3,200. Further checking Bitcoin<\/a>, the price of BTC is still hovering around the $11,000 area after experiencing a momentary wick down to $10,800 levels – Binance rate.<\/p>\n Judging by the fact that Bitcoin has proven to be highly correlated<\/a> to the traditional markets, it will be a tense few hours or days as both markets digest<\/a> the news of a shrinking US economy.<\/p>\n To note is that there is a sense of optimism surrounding Bitcoin after the King of Crypto rallied hard from $9,100 to $11,400 in approximately one week. However, many crypto traders are very much aware of the existence of a CME gap found between $9,600 and $10,000 that occurred between Friday the 24th of July and Monday the 27th.<\/p>\n Furthermore, the CME Bitcoin futures and options expire tomorrow,<\/a> July 31st setting the stage<\/a> for a tense 48 hours in the crypto markets.<\/p>\n\n
It’s a Tense Moment for Bitcoin as News Hits of a Contracting US Economy<\/h2>\n
Bitcoin Could Possibly Drop Below $10,000<\/h2>\n