TechFlow news, January 13 — Frank Chaparro, Special Projects Director at The Block, shared market insights indicating that traditional market forces are now driving cryptocurrency price movements following the launch of spot Bitcoin ETFs. After the release of U.S. employment data on January 12, crypto markets showed a strong correlation with the Nasdaq Index, highlighting the profound impact of macroeconomic factors on the market.
Greg Guttas, analyst at Flowdesk, noted that the mismatch between ETF trading hour limitations (6.5 hours per day) and the 24/7 nature of cryptocurrency trading could amplify volatility during opening periods. Although the crypto industry faces favorable developments such as improved regulatory clarity and increased participation from the banking sector, current market sentiment suggests these positives may struggle to offset pressures stemming from adverse macroeconomic headwinds.
