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BTC price holding at $20k despite US stock major losses

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The US stock market is at a total loss of $1.6 trillion equalling out to 4 Bitcoin market caps. Despite this, the BTC price has remained sturdy at near the $20,000 price level. 

Losing its $20,000 support during the night leading to September 14h, US inflation caused a severe decrease in risk assets. 

Maret data indicates that BTC/USD hit lows of $19,780 on Bitstamp, the pair’s most severe drop since September 9th. 

This comes during a rout in stocks which was triggered by the Consumer Price Index inflation data for the month of August having higher results than expected. 

With the market hoping for a quicker recovery from inflation, the market inflation is still lower than July. With predictions for the prospect of recovery wearing thin, equities index have also lost value severely, with major tech corporations like apple losing as much as $154 billion in daily losses. 

“Markets had tried desperately to spin a bull case and fight the Fed, basically, and that’s a dangerous place to be,” said Carol Schleif, deputy chief investment officer at BMO Family Office, in an interview with Bloomberg.

US stocks fell by about $1.6 trillion on the day, totalling more than four times the market cap of Bitcoin. Coincidentally, the strength of the US dollar increased as shown on the DXY which surged back to 20 year highs.

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