Here's What Drove Today's Volatility in Bitcoin
The gold standard of cryptocurrencies, Bitcoin (CRYPTO: BTC) is one top token that saw a tremendous amount of volatility this morning. As of 6:30 a.m. ET Friday, Bitcoin declined 6.8% over the past 24 hours. Since then, some of these losses have been made back, but investors are still down 3.8% since yesterday morning, at the time of writing.
The reality for investors, at least of late, has been that Bitcoin's price movements have mirrored those of the broader market, albeit with higher volatility. We've seen this situation play out for some time. But the fact is, I've noticed this higher-volatility correlation more of late, which may be concerning to some investors and lead to the recent outsized downside in Bitcoin relative to other risk assets.
Of course, some of today's moves have to do with some negative headlines around the regional banking sector and concerns around loan quality. But let's take a more specific look at Bitcoin, and see what fundamental factors are driving these moves, and importantly, whether the world's largest cryptocurrency is worth investing in right now.
Source Fool.com
