According to current data published by the UK-based cryptocurrency data initiative Skew, the 10-day average volatility value of the leading cryptocurrency Bitcoin has dropped to unprecedented levels since November 2018.
The main reason for this is the BTC / USD parity fluctuating between $ 9,200 and $ 9,150 for more than a week. Although the atmosphere of fear has prevailed in the past months due to the harsh movements of Bitcoin, almost all investors want this boring weather to end.
Investors are Waiting for the Fourth Quarter
In November 2018, the price of Bitcoin fell to the lowest levels of the year and it was not fully recovered from the impact of this level until the middle of the new year. Although Bitcoin price is currently in the $ 9,000 band, analysts emphasize that this may be the “new bottom”.
Bitcoin, which had a very good second quarter, is expected to meet the investors with a very volatile period in the third quarter, and stagnant in the third quarter after this volatility. If Bitcoin continues this volatility for a few more weeks, we may be able to see stiff movements that can pull the price down to $ 7,000 or up to $ 14,000.3
#bitcoin 10 days realized volatility = 16%
It means bitcoin moved less than 1% up or down on average over the last ten days.
Last time this happened in November 2018, bitcoin sold off nearly 50% thereafter. pic.twitter.com/0uFNuDlR4m
— skew (@skewdotcom) July 20, 2020