21 Feb 2023
A bitcoin led rallyBitcoin (+14%) has seen strong momentum in the past week, driven by no material crypto-related news or macro data. The strength has also been uncorrelated to the broad financial markets.
- Bitcoin sees 13% gains, in a push unrelated to news
- Still, bitcoin struggles to push above 25k resistance from August 2022
- Signals of positive Hong Kong crypto regulation cause an Asian narrative to emerge
The strength has also been uncorrelated to the broad financial markets. This all points toward BTC’s recent buoyancy being caused by growing capital flows into the crypto market. The crypto rally has been driven by BTC strength, with both ETH (12%) and BNB (7%) lagging behind BTC’s performance. A healthy signal from the market.