Bitcoin (BTC) was down for a fourth straight day, though changing hands well above Monday’s low around $30,000. After soaring to a new all-time high around $40,000 last week, prices have tumbled about 13% since Saturday, the most for a three-day stretch since March 2020, according to TradingView.
“Volatility is the price you pay for performance,” as the investing-legend-turned-bitcoin-bull Bill Miller put it last week to CNBC.
In traditional markets, Asian shares rose on Tuesday and European indexes were little changed. U.S. stock futures pointed to a higher open. The possibility of further economic stimulus and turbulent U.S. politics helped push yields on 10-year U.S. Treasury notes to 1.16%, the highest since March, according to CNBC.
According to Bloomberg News, that political situation could entail the U.S. House of Representatives impeaching President Donald Trump with fewer than 10 days to go in his presidency because Vice President Mike Pence appears unlikely to invoke constitutional authority to remove the president from office.
Gold strengthened 0.9% to $1,861 an ounce.
A high price does not a market make. But guess what does? High trading volume.
One of the important things to note about the bitcoin market during this year’s rally is the record amount of cryptocurrency changing hands. That was true of the rapid ascent to new all-time highs above $40,000, and it’s also been true on the way down.
What it means is the market is staying liquid, seen as a healthy attribute especially when prices are on the move. You might be a buyer at what might seem like nosebleed levels, but you’re not the only one.
As reported Monday by CoinDesk’s Muyao Shen, trading volumes and active addresses for bitcoin have now surpassed their previous all-time highs during the last crypto bull run of 2017.
“This is first and foremost a sign of how much bigger and mature the industry is, with a lot more money flowing on these…