According to a report published by Arcane Research, Uncle Sam is dominating the Bitcoin (BTC) trading arena. Bitcoin’s 90-day correlation with the S&P 500 is currently the highest since October 2020, while US business hours show most Bitcoin activity.
In 2022, US trading hours show a significant increase in trading volume, accounting for 43% of trading volume over a 24-hour period on average.
Trading volumes during US market hours have increased since the end of 2021. The figure rose 43% from 36% for the period from November 1, 2021 to January 16, 2022.
On the chart, the US market is open from the row. From 15:00 to 21:00 UTC + 1:
Arcane Research summed up this trend well:
Trading activity tends to pick up immediately after the US stock market opens, as Bitcoin’s performance is closely related to the S&P 500.
Interestingly, US traders are also starting the week with a bang. It was up to 50% of bitcoin’s trading volume in the last three Mondays and Tuesdays of the year before dropping to 40%.
40% is still significant given that the US market hours are from 9:30 AM to 4:00 PM. Eastern time is less than 30% of 24 hours a day.
Related: Bitcoin Gets Stronger After Stocks Drop 10-20% – Bloomberg Analyst
The results show that US traders – or traders who want to trade during US market time – take the bulk of bitcoin trading activity, and do so at the start of the week. However, it also shows the significant impact of the US stock market on Bitcoin’s recent performance.
With “Bitcoin’s 90-day correlation to the S&P 500 currently at its highest since October 2020” and low volatility, there is a need for a lot of market fireworks.
With analysts warning that Bitcoin could drop to $38,000 “before a possible outbreak,” the move could come during US trading in light of the data.
