• Bitcoin prices rose slightly as investors showed an increased appetite for risk.
• Data shows Bitcoin now has the highest “Sortino ratio” compared with traditional markets and Ether.
• Crypto investors are fleeing Circle Internet Financial’s USD coin (USDC) stablecoin, with many of them switching to tether (USDT).
Bitcoin Prices Rise as Investors Show Risk Appetite
Bitcoin prices rose slightly on Thursday as investors showed a renewed appetite for risk. Bitcoin was up 1% over the past 24 hours to around $28,500, reaching an intraday high of $29,100 before retreating. The tech-heavy Nasdaq 100 contracts advanced 0.4%, entering into a bull market for the first time in nearly three years.
Data Shows Bitcoin Has Highest Risk-Adjusted Performance
Data from IntoTheBlock shows that bitcoin now has the highest “Sortino ratio” compared with traditional markets and ether. The metric measures the risk-adjusted performance of assets, suggesting better risk-adjusted returns when it is higher.
Crypto Investors Fleeing USDC Stablecoin
Crypto investors are fleeing Circle Internet Financial’s USD coin (USDC) stablecoin, with many of them switching to tether (USDT), another stablecoin which has reached a 22 month high in market share. Net outflows from USDC have surpassed $3 billion since March 14th this year, further increasing demand for USDT which currently holds more than $45 billion in value locked across different crypto trading platforms worldwide.
MarketsFirst Mover Americas: Investors Dig Risk Again
The latest price moves in crypto markets in context for March 30th 2023 suggest that investors are digging into risky assets including bitcoin as they seek higher returns while other traditional markets remain sluggish or bearish. This trend appears to be driven by data showing bitcoin currently having the highest “Sortino ratio” compared with traditional markets and ether, suggesting better risk-adjusted returns when it is higher than other assets available on the market today. Additionally, crypto investors seem to be fleeing USDC stablecoins in favour of USDT which is currently holding more than $45 billion in value locked across various crypto trading platforms worldwide.
In conclusion, the current movements within cryptocurrency markets suggest that investor sentiment towards digital assets is becoming increasingly bullish due to their higher potential returns relative to traditional investments such as stocks and bonds which remain sluggish or bearish at present time. As such, it appears likely that more capital will continue flowing into these digital assets over time if this trend persists going forward into 2021 and beyond