Input your search keywords and press Enter.

Bitcoin’s Price Is Stuck with the Longest Volatility Since April 2017

bitcoin

If there is anything that has alarmed and attracted investors in cryptocurrencies, it is the fact that it is volatile. This is the same reason why critics think that Bitcoin isn’t going to be adopted by businesses. If you’ve invested in early 2017 on Bitcoin and you cashed around mid-December, your $1,000 investment would’ve turned to almost $20,000.

And considering this, it is also the reason why regulators have to step in. It has caught the attention of regulators. After a number of regulatory adjustments, Bitcoin is only trading around $6,500. There were countries such as China that banned crypto-related activities fearing capital flight.

Despite the amount that it has lost in the last ten months, Bitcoin is looking less volatile these days. In fact, Netflix and Amazon stocks are more volatile than Bitcoin. Bitcoin was around $1,200 in April and even around May of last year. The average volatility during that time was $33 which means that the price moved around 2.75% daily. This was when $100 daily volatility was such a trend. Now, it seems that the daily volatility has dropped to $56 just in the last seven days. The price is moving just 0.86%.

And it is often times after a calm period when Bitcoin either rally upwards or drop. If you will ask Mike Novogratz, he believes that Bitcoin has bottomed already. You have the possibility of having institutional investors getting involved.

In fact, Tom Lee of Fundstrat still believes that it is possible to see Bitcoin reach $25,000 this year. Though it’s a bold prediction, he stood with his prediction saying that anything can happen in the crypto market.

Bitcoin Needs to Move Above $7400

In order to see Bitcoin go high, it is imperative that it goes high enough as $7,400. This would indicate a stronger rally that could go way above $10,000. However, it is also possible that Bitcoin may also encounter a resistance such as during July of this year when it was stopped at around $8,500.

Good Development for Cryptos?

It seems that there is a lot of good news in the crypto market these days. You have the likes of Fidelity making their own company dedicated to cryptocurrencies. In addition to this, you also have ICE collaborating with Microsoft to have Bakkt.

These are things that could lead towards adoption and even the entry of institutional investors. Though the entry of institutional investors didn’t happen as fast as some people may have expected especially during the crypto regulatory changes, these are things that can keep everyone hopeful. And also, you have the possibility of having a Bitcoin ETF by next year. Though Bitcoin ETF applications were denied by the US Securities and Exchange Commission citing price manipulation as their reason, the Bitcoin ETF application by Solid X and VanEck could be a game changer.

Now that Bitcoin has a low volatility, does it mean that Bitcoin is going up? In reality, no one really knows. It is possible that investors are holding on to their Bitcoin at this point. It could easily mean that the market is also maturing.

Mark Ayesa

Mark manages our editorial team, social handles and is always on the lookout for great writing talent to contribute to our site. On a day-to-day basis he ensures the content on CryptoCurrency365.com is of the highest quality and also carries out extensive research on any current hot topics of the crypocurrency world for our writers.

Leave a Reply

Your email address will not be published. Required fields are marked *


Notice: Undefined variable: font_family in /home/cryptocurrency35/public_html/news/wp-content/plugins/gdpr-cookie-compliance/moove-modules.php on line 282