Hong Kong Real Estate News Delivers Market Dip
This is not financial advice.
China has been clamping down on real estate lately, triggering large real estate sell-offs across the board. Fears have spread to the financial markets as well.
Concerns over China Evergrande Group’s debt crisis have grown and have affected everything from insurance, to high-yield dollar bonds, to the S&P 500 to cryptocurrency. One lesser-known Chinese developer even took an 87% dive before it had its trading halted. Hong Kong developers were informed that Beijing will no longer tolerate This coupled with volatility caused by holidays throughout much of Asia may have contributed to the ripple effects in the overall financial market as well as cryptocurrency.
BTC 4hr candle chart, approximately 10:30am ET, 9/20/21.
BTC is trying to find support in this area, however, this fear has also entered cryptocurrency markets as well, with BTC seeing about a 7% dip as of posting. This of course has lead to a domino effect of altcoins racking up even higher loss percentages. Currently, the volatility in the crypto market is still high and we have yet to see a substantial decrease in volume.
With all this in mind, the dip was caused by factors outside of the crypto market that has yet to be settled. So until real estate investors are informed of the Chinese government’s final decision on regulatory crackdowns, and Evergrande’s debt situation we may continue to see the influence of this in the cryptocurrency market as well, so we may continue seeing some volatility.