I want to know how you are getting along with the Tradestation backtesting.(is BTC/USD and ETH/USD available?)
If you look at the image, there is 47% difference between GBTC and BTC/USD and 100% difference between ETHE and ETH/USD for the past year. This makes any backtesting for GBTC and ETHE on P123 platform (when their data become available) not very meaningful due to their large discount to NAV. Cleo.one is also closing down in preparation for a new site later this year.
Tradestation allows one to back test gbtc and ethe to their origin but not BTC/USD or ETH/USD. I agree that the discount/premium is a significant issue when back testing them
what do you think of this article, “The Fed move means that people who were thinking of crypto as actual currency are going to get their bubble popped,” says Chen. “Many Bitcoin types were thinking that it is a currency and that it would replace traditional currencies. Well, not if the Fed, the European Central Bank, and other central banks have anything to say about it.”
I think it will depend on the future market acceptance of DeFi, (decentralized finance) which continues to favour cryptos vs CBDC (central bank digital currency).
Will RSI drop below 50 (indicating downward momentum and start of a bear market), or will RSI stay above 50 and rise again, because at the peak in 2021 RSI did barely go above 90 as well (no high peak = no extreme low).
These regulatory changes could come from any country at any time and when combined with the questionable utility of many of these cryptocurrencies there is a dimension of risk and unpredictability which is unique.
Thank you James
Or maybe it was a temporary coupling between Bitcoin and stocks:)
Bitcoins volatility seems to be due to a combination of the inability to value it and greed/fear
James,
The recent Bitcoin price jump occurred when the non commercial traders moved to net long positions for the first time ever as per the prior graphic
