Why Bitcoin Has Dropped 12% This Week, and Two More Numbers to Know

By February 27, 2020Bitcoin Business
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Three numbers to start your day:

The Price of Bitcoin has Dropped 12% Since Monday

Stocks have tumbled for three days straight on coronavirus fears, but the so-called digital gold hasn’t provided any hedge. Many cryptocurrency fans have argued that bitcoin should be considered a safe-haven asset—meaning an asset that rises when others fall. It hasn’t borne out that way this week.

One analyst suggested that has to do with the nature of the recent stock selloff. Investors are fleeing stocks because they expect a decline in earnings and a possible recession.

Bitcoin doesn’t protect against that, it protects against geopolitical strife and inflation, the analyst argued. Or maybe bitcoin is actually just as risky an asset as stocks are.

—after the company reports earnings this evening. The alternative-meat producer’s shares have been eye-wateringly volatile since the company went public last spring.

After its past three quarterly reports, Beyond Meat stock (BYND) has risen more than 39%, dropped 12%, and dropped another 22%.

Today, Wall Street analysts expect Beyond Meat to say it broke even in the fourth quarter and report that its revenue almost tripled from a year ago. They’ll also be watching for management’s 2020 guidance, and for any updates on the company’s partnerships with Starbucks (SBUX) and McDonald’s (MCD).

In January, 764,000 New Homes Were Sold in the U.S.

According to the Census Bureau. It is a huge 18.6% jump over the same month last year. That is also the highest level since July 2007.

The home sales data follows similarly strong new home construction figures last week. But don’t get too excited about a sudden boom in the U.S. housing market. The weather has been unseasonably warm this winter, meaning barely any snow, which allows for more home construction. And home buyers can visit those construction sites and make a purchase.

If that is the case, January’s housing-market boom largely means that demand is just being pulled forward from the spring, when home buying typically spikes. So while the housing market will be particularly strong in the first quarter, it could be matched by an equally large shortfall in the second.

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The Price of Bitcoin has Dropped 12% Since Monday

Stocks have tumbled for three days straight on coronavirus fears, but the so-called digital gold hasn’t […]

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