By midday on Friday, the DAX had eased into positive territory after a cautious opening. Around 12:30 p.m. the index was calculated at approximately 24,635 points, up 0.6 percent from the previous day’s close.
Thomas Altmann of QC Partners remarked that investors are currently witnessing a genuine exodus from Bitcoin. Those who had put in borrowed money will have to top up huge sums or face forced liquidation, and every price drop further fuels a spiral of margin calls, forced sales, and additional losses. Those meeting margin calls often must sell other assets, pulling the Bitcoin crash deeper into surrounding markets.
The NASDAQ‑100 volatility index hit 30 on its last trade, a level far above the two‑year average of just under 21. Altmann pointed out that this high reading reflects the prevailing uncertainty among investors, who react to rising fear by selling more swiftly.
Meanwhile, sovereign bonds are regaining their reputation as safe havens. With uncertainty at extremely high levels, they are seen as comparatively less risky and are being purchased again. The outlook for the upcoming Fed Chair Kevin Warsh also shifted dramatically; the probability of a rate cut surged sharply, with an immediate drop now expected if Warsh leads a June policy meeting-previously, a cut was considered much less likely by 40 percent.
In currency markets, the euro strengthened slightly in the afternoon, trading at 1.1787 U.S. dollars per euro, which translates to 0.8484 euro per U.S. dollar.
Gold rose sharply: a fine ounce fetched $4,892-an increase of 2.5 percent-and equated to €133.44 per gram.
Oil ticked higher as well; Brent crude from the North Sea was priced at $67.58 per barrel at about 12:00 German time-three cents more than the previous day’s closing price.
