Memorial Day Rise: Bitcoin Hits $70,000 as US Stock Markets Pause

• Memorial Day saw cryptocurrencies thrive, with Bitcoin reaching $70,000 and Ethereum reaching $4,000.
• 2024 defied the norms, showing increased crypto activity on Memorial Day.

On May 27, as Memorial Day was celebrated in the United States, an interesting disparity emerged in the financial markets.

While the US stock market, including the Nasdaq and the New York Stock Exchange (NYSE), were closed for the holidays, the cryptocurrency market was thriving.

The cryptocurrency market is increasing

Bitcoin [BTC] it rose to the $70,000 mark and various altcoins showed significant gains on their daily charts. Ethereum [ETH] it also briefly reached the $4,000 level, adding to the overall market enthusiasm.

Echoing similar sentiments, Santiment’s Post X (formerly Twitter) noted,

“Bitcoin once again eclipsed the $70,000 market value as #MemorialDay put US stock markets on pause. This climb is particularly encouraging, as the positive movement reveals how #cryptocurrency markets can perform on the rare weekdays where they are not dependent on the stock market they are correlated with from 2022.

Source: Santiment/X

Reiterating the same, TheoTrader noticed,

“Based on seasonality data, we tend to rally the week after Memorial Day, expecting a bullish week ahead.”

The past is not a blueprint for the present

However, as exciting as this trend is, it is rather unusual.

Second Bloomberg’s report, cryptocurrency market volume declined 43% in 2020 and 35% in 2021 during the Memorial Day period, suggesting that activity is generally low during this holiday.

But 2024 was characterized by new events and atypical market trends, and this was one of them. Observing the same, Ryan DetrickChief Market Strategist at CarsonGroupLLC said:

Source: Ryan Detrick/X

Historically, during election years, stock prices have fluctuated with no clear trend in the run-up to Memorial Day. After Memorial Day, however, stocks often rise dramatically, a phenomenon known as a summer rally.

What will be?

Since the stock market is closed on Memorial Day, it remains to be seen whether or not Ryan’s prediction will come true.

But, in the realm of cryptocurrencies, where markets are always open, we are already starting to get clues as to where things might go in the near future.

As traditional assets continue to exhibit seasonal patterns, the independence and volatility of the cryptocurrency market presents both opportunities and challenges for investors.

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