Financial markets in the United States are expected to rally today as futures markets post significant gains. Many are anticipating the cryptocurrency market to rise with it.
Before the bell opens for trading in the United States, the cryptocurrency market is already green — and may push higher as bullish momentum builds.
At the time of writing, Bitcoin (BTC) has broken past the $7,000 price point and is up some +4.7 percent on the daily. The rest of the cryptocurrency market is also rising with most posting gains. Ethereum (ETH), for example, is seeing a seven percent rise at the time of writing.
Futures Markets Expect a Green Day
The cryptocurrency market may be rising in response to the positive sentiments posted by the U.S. futures market. S&P 500 futures are currently up some 3.75 percent. Dow Jones futures are up some 3.8 percent, as well. Altogether, it seems like today U.S. financial markets will see a massive green candle as most of the world’s financial markets rally.
Bitcoin’s price has often been correlated with the S&P 500. Therefore, the gains we are seeing for Bitcoin today may merely be a lagging indicator of what’s to come when the U.S. bell opens today.
The positive sentiment has released the bulls on Crypto Twitter and beyond, once again — with many expecting a massive green candle in the near future.
Is The Worst Behind Bitcoin?
It’s really hard to say whether or not the worst is behind Bitcoin after the drastic -50 percent drop on March 12. The cryptocurrency market has steadily recovered since then but the macroeconomic situation still remains uncertain.
According to trader Mitoshi Kaku (@CryptoSays), the current rise is not going to last long. Although good news for the immediate and short-term, traders should be patient. “No rush here,” he writes on Twitter.
It was about time. The bad news are that personally, I don't think this is going to last long. 1D, 3D and 1W pivot, today! (Unless we close 1D above 7400).😳 $BTC #CryptoIkagi – Patiently waiting to close longs and possible open shorts, no rush here. pic.twitter.com/NzgdeJeug5
Ultimately, it is the macroeconomic trends that are leading Bitcoin’s price movements as of late. Those remain on shaky footing with unemployment numbers continuing to add up. Financial markets may be able to sustain themselves in the coming week but, ultimately, the structural economic issues will have to be addressed if we are to get out of this market rout.