Bitcoin price, which stood above $ 10,800 all day, is currently falling. While Bitcoin, which tested $ 11,000, failed in this test, the S&P 500 Index is preparing to sign a first in 9 years. The stock index shows the worst September performance since 2011, following the banking scandal revealed by BuzzFeed News.
Bitcoin lost 3% in 24 hours after losing momentum in the market. While Bitcoin fell to $ 10,600, the total value of the crypto money market fell from $ 352 billion to $ 338 billion.
Falling Along With The Stock Markets
As Bitcoin loses value, the S&P 500 Index accompanies it. Opening the day with a 2% drop, the S&P 500 Index plots the worst September chart since September 2011. It is wondered how the index, which has been closing negative for three weeks, will follow this week.
Piper Sandler technical analyst Craig Johnson announced that he expects a decrease in the short term, although he thinks the index may rise to 3,600 by the end of the year. According to CNBC’s report, the master thinks that the index can be pulled to the 200-day moving average level of 3,100.
Federated Hermes Vice President Steve Chiavarone also does not expect a major recovery in the short term. Chiavarone’s comment for the next year, which says that new buying opportunities may arise in the index, is as follows:
“In the first quarter of next year, the American will be elected president, maybe the coronavirus vaccine will be found, the economy will start to recover, and most companies will be better off compared to the previous year.”
Could The Banking Scandal Have Affected?
S&P 500 futures showed that the index could make a bad start today. The decline experienced today was reinforced by the banking scandal that emerged yesterday. More than 100 investigative journalists came together and disclosed the “suspicious transaction” reports reported by giant banks to FinCEN.
With these documents, it was revealed that giant banks such as HSBC, JP Morgan, Standard Chartered, Deutsche Bank mediated some illegal transactions and turned a blind eye to certain transfers, although they were irregular. The effects of this scandal made itself felt also in the stock markets. As of today:
- Deutsche Bank 7.57%
- HSBC 5.04%,
- Standard Chartered 5.01%,
- JP Morgan fell 3.35%.