Price analysis 10/21: SPX, DXY, BTC, ETH, BNB, XRP, ADA, SOL, DOGE, MATIC

By akohad Oct21,2022

[ad_1]

The 10-year Treasury yield in the United States rose to its highest level since 2008. Although this type of rally is usually negative for risky assets, the U.S. stock markets recovered ground after the Wall Street Journal reported that some officials of the Federal Reserve were concerned about the pace of the rate hikes and the risks of over-tightening.

While it is widely accepted that the U.S. will enter a recession, a debate rages on about how long it could last. On that, Tesla CEO Elon Musk recently said on Twitter that the recession could last “probably until spring of ‘24,” and added that it would be nice to spend “one year without a horrible global event.”

Daily cryptocurrency market performance. Source: Coin360

Bitcoin’s (BTC) price has witnessed a massive drop from its all-time high but its hash rate remains strong. This has increased Bitcoin’s discount relative to its hash rate in October to its highest since the first quarter of 2020, according to Bloomberg Intelligence senior commodity strategist Mike McGlone. The previous instance of the huge discount was followed by a massive rally that lasted till 2021. McGlone believes the same could happen again this time and Bitcoin may outperform most major assets.

Let’s study the charts of the S&P 500 index (SPX), the U.S. dollar index (DXY) and the major cryptocurrencies to spot any reversals.