Bitcoin’s (BTC) price remained resolute this week as global market indexes reacted to oil futures collapsing below $US0 for the first time in history.
West Texas Intermediate’s (WTI) May futures contract went negative on Tuesday with a closing price of -$37 per barrel. Demand for oil has shrivelled as half the world’s population is under lockdown restrictions.
As people have nowhere to go, less oil is being consumed. As a result, oil storage limits are being reached.
Consequently, the S&P/ASX Small Ordinaries (XSO) index was hit with a 3.6 per cent loss that day.
BTC’s price is becoming increasingly uncorrelated to traditional financial markets. The asset’s value was unhindered by the WTI’s price collapse and knock-on effects on global market indexes.