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Bitcoin Falls Back To $38,000 As Russia Steps Up Bombardment Of Ukraine

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As Bitcoin falls back, the US dollar strengthened following impressive economic statistics that indicated the number of jobs generated in the US, among other related factors, increased far more than projected.

Bitcoin – the world’s alpha dog cryptocurrency – slid down into Sunday’s weekly closing, with geopolitical frictions and concomitant macro sluggishness firmly on the spotlight.

BTC’s price was down 6% overnight, despite several mid-week rebounds, as the global crypto market lost a massive $78 billion in market capitalization.

Three-Day Losses Sustained As Bitcoin Falls Back

Bitcoin was heading back into the $38,000 region as of mid-Sunday. The cryptocurrency was still up 5% in a month. Ethereum, on the other hand, traded at $2,625, down roughly 4% on the day and 5% on the week. Additionally, it fell 2% in a month.

TradingView and Cointelegraph Markets Pro data indicated that the BTC/USD pair was in the midst of testing the $38,000 support level at the time of writing, with three-day losses approaching 12%.

According to market expert Holger Zschaepitz, global stocks have lost roughly $3 trillion in market value this week as the ongoing Russia-Ukraine conflict threatens to trigger a “huge stagflationary shock.”

BTC total market cap at $735.21 billion in the daily chart | Source: TradingView.com

Demonstrating Strength

Bitcoin gained 20% in less than 48 hours on Wednesday, reaching $45,077. At the time, the cryptocurrency was floating above established financial markets, like the NASDAQ and S&P 500, which appeared to be faltering in the wake of Russia’s attack on Ukraine.

Mike McGlone, senior commodity strategist at Bloomberg Intelligence, stated that Bitcoin is demonstrating strength as it outperforms the NASDAQ stock index and is “maturing toward global digital collateral.”

Related Article | Bitcoin Staggers After Putin’s Nuclear Deterrence Alert Warning

Lindsey Bell, Ally’s Chief Markets and Money Strategist, was quoted by Bloomberg as saying “the war in Ukraine continues to worsen, putting the world on edge.”

Bell noted that markets have been plagued by uncertainty, which has created an extremely difficult investing environment.

In The Red Territory

Since Friday, when it lost about $99 billion in total market volume, the global cryptocurrency market has been in the red zone.

With caution still reigning in the short term, the prognosis for Bitcoin was bleak, with most optimistic indicators pointing to a continuation of the current trading range.

Meanwhile, Russia’s stock market remained closed for the fifth consecutive day on Friday, while the Russian ruble dropped more than 30% versus the US dollar on a weekly basis.

The ruble fell to an all-time low of $0.00799 on Saturday, as the market continued to bear the brunt of Russia’s invasion of Ukraine.

Related Article | Billionaire Investor Says Crypto Outlook Is ‘Very Bullish’ For Bitcoin

Featured image from New York Post, chart from TradingView.com

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