%Cryptocurrencies continue to outperform stocks as the price of %Bitcoin ($BTC) holds steady above $23,000 U.S.
The largest cryptocurrency by market capitalization has been trading right around $23,500 U.S., up 40% through two months of the year compared with a 3% year-to-date gain in the benchmark S&P 500 stock index.
Bitcoin has maintained its current level despite a pronounced selloff in equities over the past month. In February, the S&P 500 index declined 6% following a strong January rally. The price of Bitcoin remained essentially flat in February (down 0.92%).
While Bitcoin has failed on several occasions to break above $25,000 U.S., investors and analysts see it as positive that the cryptocurrency has managed to hold above $23,000 U.S. as the stock market retreats.
At the same time, %Ethereum ($ETH), the second biggest cryptocurrency, recently rose nearly 5% to trade at $1,665 U.S. Year-to-date, Ethereum’s price has risen 36%.
Cryptocurrency prices appear to have stabilized following the $8 billion U.S. collapse last fall of the %FTX exchange.
Prices also do not seem to be reacting to a growing crackdown on cryptocurrencies by regulators around the world, notably in the U.S. and China.
Yet stocks continue to react negatively to strong economic data that suggests the U.S. Federal Reserve is likely to continue raising interest rates in the near-term.
Macroeconomic worries have pushed the 10-year U.S. Treasury yield above 4%, its highest level since last November. Bonds and stocks tend to move in opposite directions.