Crypto crash and gold sell-off present there is no place for traders to cover

Crypto crash and gold sell-off show there's no place for investors to hide

New York
CNN Business

The spectacular implosion of cryptocurrency exchange FTX, a so-called unicorn startup that was recently valued at $32 billion, is just the latest bit of bad news for investors in bitcoin, ethereum and other digital assets. But 2022 was already an awful year for crypto before the FTX-Binance soap opera.

Bitcoin prices are currently hovering around $16,500, down from a level of $20,000 just a week ago. Still, even at $20,000, that was a far cry from the price of just north of $46,000 that bitcoin was trading at on the last day of 2021.

It turns out that investors who were hoping that rising interest rates and higher levels of inflation would be good for so-called alternative assets like cryptos and gold have been in for a rude awakening this year.

They’ve gotten hit just like stocks and bonds, proving there really is no place to hide in a market…