Reassessing Markets Trends and Possible Bitcoin Drivers

By Blu Putnam, Chief Economist
Erik Norland, Senior Economist
CME Group

Market Trends That Might Persist or Fade

• Some countries prepare for an evolving reopening of their economies.
• Markets that surged are taking a pause, while equities are more volatile.
• Investors reassessing market trends, could lead to increased volatility.
• Risk management could be central to maintaining investment portfolios.

Three Factors That Might Influence Bitcoin

• Bitcoin’s bear markets tend to coincide with rise in cost per transaction.
• Cost per transaction surged 10-fold before this year’s decline in prices.
• Daily volume of transactions also seem to correlate with price swings.
• Difficulty in mining bitcoin has risen from 10 calculations to 2.5 trillion.