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Does crypto rest on weekends?

According to a Coin Metrics chart shared with CoinDesk, the correlation with the U.S. trading hours was most pronounced in the first quarter of 2022, suggesting a clear evolving trend. Crypto doesn’t rest on weekends, but the U.S. equity traders are asleep. So what to make of the weekend trading activity?

Why does cryptocurrency crash on weekends?

Here’s why cryptocurrency crashes on weekends 1 Less trading on weekends. One of the reasons for weekend cryptocurrency volatility is there are fewer trades, said Amin Shams, assistant professor of finance at Ohio State University in Columbus, ... 2 Trading on margin. ... 3 Market manipulation. ... 4 Crypto ETFs. ...

Why are weekends so important for cryptocurrency traders?

Secondly, weekends are a time for cryptocurrency traders to regroup. Investors may spend this time discussing with friends or colleagues on the newest trends and the most exciting prospects.

Are weekend dips in crypto a sign of the future?

“This has been a phenomenon in crypto for several years,” said Stephen McKeon, associate professor of finance at the University of Oregon in Eugene, and partner at Collab+Currency, a cryptocurrency-focused investment fund. These weekend dips may have significant effects as regulators weigh the future of digital currency, experts say.

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