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Russell 2000 Index hits a new high again. Is the market reenacting Bitcoin's classic bull market trajectory?
The Russell 2000 Value Index recently hit a new all-time high (ATH), and this breakthrough quickly sparked market discussions about the direction of risk assets, especially its potential guiding significance for Bitcoin and the cryptocurrency market. As an important indicator of changes in risk appetite, the strength of the small-cap stock index is often seen as a signal that funds are beginning to re-embrace high-volatility assets.
Market analysts point out that the Russell 2000 Index covers approximately 2,000 small-cap U.S. companies, and unlike the S&P 500, which is dominated by large-cap stocks, its rise usually occurs during periods of increased risk appetite. Historical experience shows that this phase often coincides closely with the start of Bitcoin and altcoin rallies. Earlier this month, the index broke through a long-term technical resistance level, which is seen as a typical signal of "risk appetite returning."
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