There are multiple reasons for Bitcoin to gain when the US market is closed. It is also a new topic for debate. The US stock market is popular with investors and traders. Investors get huge gains from this stock market. There is a fixed time for the Wall Street market. When traders are not active, Bitcoin investors get huge gains.
Various reports show that it generates a high gain in this span. Reports from Bespoke Investment Group: When the equity market closes in New York at 4 pm, coins are invested, and they are sold the following morning at 9.30 am. The profit generation is 260% in 2020. Daily in the US market, there is a 3.6% gain, but the value of coins is higher on weekends. It shows that when stock market traders are not active, there are more gains.
When the stock market is closed, there is a choice for traders and investors to switch to the crypto market. There are more possibilities in the crypto market because it is never closed for business. There is more security in this process.
Trading behavior is always the same, such as buying more stocks when the market is near to closing and selling their stocks in the early morning. We must know various factors that help the crypto market gain more than the traditional market.
There is a vast difference between the working process of the Wall Street market and cryptocurrency. In contrast to Wall Street, cryptocurrency trading does not have a limited time when it is open. The primary reason is that it works around the clock. It engages more investors and traders, which helps to get more profits. As Bitcoin becomes a more profitable asset.
The crypto market in China has repression and its trading time is also different. The peak time in trading is at 3 a.m. ET and it correlates with US stock market trading hours.
Different Geographical Areas
Central banks, including the Federal Reserve, have enforced new policies. As a result, there is a huge amount of inflation, so investors are also searching for more possibilities. Investors from the US and its nearby areas are selling their risky stocks. The risk is also high in Asia, according to Noelle Acheson, head of market insights at Genesis Global Trading. She also explains that multiple cultural approaches are also for risky investments.
It also influences investments, such as in China in 2015 and 2016. Bitcoin trading was popular at that time. The new business began in China and is engaging more investors. There are high-leverage international sites. In the beginning, crypto exchanges offered 125 x weight. Leverage needs to be cut down.
Trade critics have their perspectives. Corresponding to them, Bitcoin attracts more investments. There are various reasons. We know that equities and cryptos have a direct relationship, such as that they simply sell at any time of year. These investments are always uncertain. There is an interaction between its existence and outperformance. It takes time to recover, such as two years.
According to Arcane Research analyst Vetle Lunde the relationship between Bitcoin and US trading hours. An early bull market characterized US market trading hours from the middle of 2020 to early 2021. This time, Bitcoin is revealing significant institutional signs of progress. We also focused on its de-risking because various factors like inflation and interest rates are the causes of this phase. Bitcoin is getting more profit when US trading hours are closed.
These market trends help us to understand how the trading market works. It is necessary to comprehend the crypto market trends before we set up investing. Multiple factors help us to get more gains with the best investments.