Global Markets Plunge As US-China Trade Tension Escalates, WSJ Recognizes Bitcoin As The Most Profitable Investment
In its latest article, the Wall Street Journal (WSJ) has identified Bitcoin as the best investment that generated the highest returns among many traditional investment options in 2019.
The article titled, “Stocks, Bonds, Oil, Bitcoin are All Up. The Everything Rally Is Back, Worrying Some Investors,” depicts how Bitcoin tops with more than 50 percent growth this year.
While other assets included in the list like US Crude Oil sees on an average of over 35 percent year on year growth followed by S&P 500 that registered 18 percent growth in 2019. Moving forward while Lean Hogs saw just above 10 percent increase, Copper, Corp. Bonda, and then government bonds recorded less than 10 percent growth.
The media outlet reported how nearly 90 percent of 70 financial asset classes posted positive returns this year through April after the brutal 2018.
Bitcoin Drops Down As Stock Markets Fall On US-China Trade Tensions
The US stocks fell sharply joining other global benchmarks after US President Donald Trump threatened to increase the tariffs on $200 billion of Chinese goods, over the weekend. This raised fresh fears about a clash between the world’s two largest economies.
Chinese markets plummet more than 5 percent and Chinese yuan dropped as well. Dow is on its way to the sharpest drop in 6 weeks.
Just last week US officials seemed hopeful that a deal was imminent as trade negotiations were set to resume this week. However, it is suspected Vice Premier Liu Je’s planned trip to Washington this week could be canceled altogether.
As China considers canceling its trade talks with the US in the light of Trump's latest threats, the market might see more red.
Bitcoin is also trading in the red by about 1 percent as it trades at $5,652 on Bitstamp. Altcoins are also in the red except for a few like Ethereum which is up by more than 2 percent that has the total market cap taking a step back to $182 billion.
Crypto analyst, Light shares,
“Market participants continue to view Bitcoin as a risk-on asset. Sunday evening's sell-off occurred simultaneously with the Hang Seng's precipitous 3.4% drop at the open following Trump's new tariff salvo.”
Crypto experts have been expecting Bitcoin to go through a correction and experience a “significant” drop down as we have previously reported. However, BTC is still maintaining above $5,500, so it is to be seen if will be kept on going upwards or take a hit below $5k.