The leading cryptocurrency Bitcoin (BTC) experienced sharp declines in the third quarter. Despite these declines, BTC fell below $50,000 and still remains the strongest asset.
Bitcoin remains the best-performing asset with an annualized gain of 49.2% so far this year, NYDIG head of research Greg Cipolaro said in a recent note.
Cipolara also added that BTC recovered from the declines in the second quarter and gained only 2.5% in the third quarter, but was negatively affected by the massive sell-off.
“Bitcoin has been in steep declines for much of the past six months due to significant headwinds, including the Mt. Gox and Genesis debt distributions and massive BTC sell-offs from the U.S. and German governments.
Despite this negative outlook, Bitcoin still remains the best-performing asset class in 2024.”
Bitcoin Price Expectations Rise!
Cipolara also stated that the outcome of the upcoming US elections is expected to positively affect the Bitcoin and cryptocurrency sector regardless of the winning candidate, saying, “The upcoming US election will play a big role in the market performance in Q4, with even bigger gains expected if Trump wins. Q4 is traditionally a bullish period for BTC, and there are a number of catalysts that could cause history to repeat itself.”
Cipolaro lastly said that Bitcoin’s 90-day moving correlation with US stocks continued to increase in Q3 and remains a good option for portfolio diversification.
*This is not investment advice.