Bitcoin gains 3% as World Economic Forum 2022 commences
Leading economists and head of various nations have convened in Davos for the 2022 iteration of the World Economic Forum (WEF).
- The total market capitalisation of the digital asset sector stands at AUD$1.75 trillion while BTCs market share has risen to 44.6%.
- The S&P 500, Dow and Nasdaq have all registered massive losses since the start of 2022.
- 22 May marks the day when computer engineer and Bitcoin miner Laszlo Hanyecz exchanged 10,000 BTC for 2 pizzas.
Volatility continues to persist across markets, including crypto and stocks, forcing Bitcoin to once again stay range-bound between AUD$40,000 and $43,000 for over a week. The asset's monthly losses currently lie at -24% while trading at AUD$42,517.
Experts claim that BTC is currently operating within a solid supply and demand wedge, suggesting incoming price action. The crypto could rise as high as AUD$43,500 or dip to $39,500 in the near term. Michaël van de Poppe sees Bitcoin being in the green for the coming week, at the very least.
The 2022 edition of the WEF is currently underway but has largely been overshadowed by the prevailing market turmoil. The S&P 500 has shed approximately 20% of its value from its peak and is now in bearish territory. Nonetheless, data suggests that Bitcoin's correlation to the stock market is finally on the decline compared to previous months.
The Nasdaq Composite and Dow have registered massive losses this past week. The former registered a drop of 275 points (for a 2.42% loss) and the latter slid 362 points, marking a dip of 1.28%.
Celebrating Bitcoin Pizza Day
22 May is celebrated as the day when Laszlo Hanyecz, a software engineer and early Bitcoin miner, spent a whopping 10,000 BTC in lieu of 2 pizzas over a decade ago. At the time, his BTC haul was worth AUD$58. However, last year when the asset scaled up to its all-time high of AUD$97,000, the net worth of his holdings increased by 1.38 billion times. Data from dedicated monitoring resource the Bitcoin Pizza Index shows that Hanyecz's purchase is currently worth approximately AUD$415 million.
Disclosure: The author owns a range of cryptocurrencies at the time of writing.