The 30-day volatility of bitcoin (BTC) has updated its historical low
Date: 2023-08-06 Author: Karina Ziganova Categories: BLOCKCHAIN, IN WORLD
Research firm K33 has reported that the 30-day volatility of Bitcoin (BTC) has dropped to an all-time low.
The price of bitcoin shows a smaller amplitude of fluctuations than the US stock indices S&P 500 and Nasdaq Composite, as well as gold. BTC trading volume, meanwhile, sank to its lowest level since November 2020.
BTC volatility has never been so low
The K33 data is also confirmed by the Buy Bitcoin Worldwide tracker. According to his testimony, the 30-day estimated volatility of bitcoin fell to 0.77%. This is absolute ATL for the main cryptocurrency - the previous low was recorded in July 2020 at below 1.5%.
Ethereum (ETH) is in a similar situation. The 30-day volatility of the asset has also fallen to all-time lows and continues to fall. But Litecoin (LTC), which is often called "digital silver", on the contrary, has become more volatile. This is likely due to price fluctuations leading up to and after the halving.
Analysts note that such large-scale declines in volatility are usually followed by turbulent periods. Therefore, both bulls and bears should be prepared for the upcoming strong market movements. This has already happened in January 2023 and July 2020 when the price of bitcoin was squeezed into a tight trading range.
Recall that at the beginning of this year, BTC fluctuated around the $17,000 mark for a long time, after which it rose above $23,000 within two weeks. A similar situation was observed in July 2020. Then, after several weeks of consolidation at $9,000, the price of the main cryptocurrency soared to $12,000.
