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Bitcoin’s (BTC-USD) gain is holding up even after the major U.S. stock averages weakened in Monday afternoon trading. The world’s largest cryptocurrency is rising 4.8%, trading at ~$31.3K.
Earlier, bitcoin (BTC-USD) nearly touched $31.7K, its highest level in five days. Last week, BTC posted its first weekly gain in nine, according to Coin Metrics.
Some aren’t ready to call the bottom yet. “We believe this relief rally is a bull trap, and that bitcoin (BTC-USD) may have a short-lived gain but is more than likely to resume the downward trend we’ve seen for the past two months,” Josh Olszewicz, head of research at Valkyrie Investments, told CNBC. “Uncertainty in the global economy due to high inflation and the likelihood we are in a recession, paired with the prevalence of central bankers raising rates, is likely going to force all assets downward at least through the end of the summer.”
He estimates that bitcoin (BTC-USD) could fall as low as $22K before rallying later in the year.
Many bitcoin-related stocks also remain in the green in early Monday afternoon trading. Riot Blockchain (NASDAQ:RIOT) +2.7%, Marathon Digital (NASDAQ:MARA) +1.9%, BIT Mining (BTCM) +2.2%, CleanSpark (CLSK) +2.0%.
Coinbase (COIN) is rising 4.4%, MicroStrategy (MSTR) +4.7%, Bakkt Holdings (BKKT) +5.0%, and Silvergate Capital (SI) +4.1%.
But there are some notable decliners: Core Scientific (CORZ), which reported May production increased from April, is falling 9.4%. HIVE Blockchain (HIVE), which produced 273 bitcoin (BTC-USD) in May vs. almost 269 in April, is sliding 4.0%.
Earlier, bitcoin broke above $30K after weekend lull
