S&P 500 Performance
After managing to recover in the last two consecutive sessions, the S&P 500 fell again today, trading at 5,636.26 with a loss of 0.68%. However, that improvement after a 10% drop this week has not convinced Wall Street analysts, who remain cautious about the sustainability of the recovery. “We see the sell-off in U.S. equities as having a long way to go,” said Bankhim Chadha, chief strategist at Deutsche Bank, forecasting an eventual 24% recovery for the index from current levels.
Meanwhile, Morgan Stanley Chief Investment Officer Mike Wilson said in a note to clients that while a “tradable rally” is possible, he does not anticipate a sustainable rally to new record highs without a reversal of growth headwinds or a change in Fed interest rate policy.
Key concerns include uncertainty about President Trump’s policies and their potential impact on a backdrop of weakening economic growth, as well as concerns about underwhelming performance in the AI sector. A lack of sufficient hard data, such as significantly weaker consumer spending figures or unfavorable labor reports, contributes to investor hesitation to engage more actively in the market.
Cryptocurrency Market Today
The cryptocurrency market has fallen again, with Bitcoin now trading at around $81,343.44, down 2%. While some analysts have called the bull run for the coin over, recent data suggests otherwise.
“#Bitcoin bull cycle is over, expect 6-12 months of bearish or sideways price action.” -Ki Young Ju (@ki_young_ju) March 17, 2025
# Bitcoin bull cycle is over, expecting 6–12 months of bearish or sideways price action.
pic.twitter.com/f80bnNhjy4 – Ki Young Ju (@ki_young_ju) March 17, 2025
On Monday, US-based Bitcoin ETFs captured an inflow of $275 million, marking the first streak of positive inflows since February, as noted by data from Farside Investors. “These data reinforce the narrative that ETF-driven selling pressure is running out,” said Valentin Fournier, an analyst at BRN. “If this trend continues, we could see a gradual increase in inflows, further strengthening Bitcoin’s price.”
After all, will Bitcoin go up or down?
The Fed’s upcoming rate decision, scheduled for Wednesday, could be an additional driver of volatility for cryptocurrencies. A more dovish statement from the Fed could encourage greater risk-on sentiment, as indicated by Ryan Lee of Bitget Research, who estimates that Bitcoin could range between $80,000 and $86,000 with 80% confidence, while Ethereum could range between $1,800 and $2,100.