Stock Futures Trade Flat, Bitcoin Almost Reached $35K

Stock Futures Trade Flat, Bitcoin Almost Reached $35K

Stock futures are trading flat to kick start the first trading session of 2021. There is no doubt that the U.S. stock market had one of the most tumultuous year, but despite that, the U.S. stock indices have been able to score decent gains.

The S&P 500 wrapped up 2020 with a gain of 16.3%, whereas the Dow Jones advanced over 7% last year. However, the Nasdaq index deserves the most applauding among investors because the index finished the year with a gain of 43.6%–something which is much easier to say but incredibly difficult to achieve.

Traders are hoping that the same factors, unprecedented support from fiscal and monetary policies, will continue to support the markets this year as well. This is because we are no way close enough to be out of the woods.

Coronavirus cases are surging around the globe, and the situation is getting especially worse in the U.K. In the U.S., there is a lot of hope that the coronavirus vaccine will resolve a lot of problems.

All major pharma companies with their vaccine such as Moderna, Pfizer, and AstraZeneca, are trying their best to pump out as much vaccine as possible.

It may be true that the worst may be behind us, and 2021 will be a much better year as compared to 2020. However, it is important to keep in mind that the coronavirus situation is still getting out of hand in the U.K. as the country reported 57K new cases. The fact is that it will take some time to bring the coronavirus situation under control, and that means full economic recovery may be able to get back fully on track until Easter this year.


Bitcoin continued to make some serious headlines over the weekend, and the asset class ripped some serious price levels over the weekend. Bitcoin price crossed the 30K price level, but it went very close to kissing the 35K price level. The rally wasn’t not only in Bitcoin trading; we also saw strong moves in the second biggest coin by market cap, Ethereum, which almost reached the 11,00 price level for the first time since 2017. There is no doubt that the price has seen a massive pump. The spike in the Ethereum price is extraordinary, and traders need to be mindful that a correction is looming. Overall, the sentiment among the crypto community is still positive, and the main theme is the short squeeze.


Gold prices have started to rise once again as traders are concerned about the possibility of further lockdowns. British Prime Minister Boris Johnson could be announcing tougher lockdown measures this week.

There is also a possibility that we may see a similar scenario playing out in the U.S. as well, and the new normal may not be able to establish itself until the second quarter. This means that there may not any change in the monetary policy response from the Fed.

The dollar index (a common currency strength meter) is still very much lifeless, and this is also helping the gold prices to continue to move higher. The fact that the price has crossed the 19,00 price level, there are strong chances that gold price may once again cross the 2,000 price level.