Bitcoin’s volatility has been less than major indexes for the traditional finance sectors in what is considered a rare- time-sensitive window.
Bitcoin (BTC) Price Today – BTC / USD
The digital currency may just have found a temporary bottom, which is relative to the bull run of last year. The coin saw a price increase of more than 1,200% during this period. This year, things are totally different, and the cryptocurrency has experienced a reversal in fortune. BTC started the year by dipping in value and is still down over 60% today.
Bitcoin has suffered from volatility since it was introduced in 2009. There has been bubble runs several times over its short lifespan.
Today, the narrative is completely different. In more than one month, the digital currency’s price has moved by 0.45%.
However, the NASDAQ-100 (NDX), DOW (DJI), and S&P 500 (SPX) indexes fell by 3.62%, 5.60% as well as 7.36% respectively.
It is true that BTC is marred by volatility, but traditional financial indexes are unusually more stable. This change that both markets are experiencing can be linked to the retreat of BTC from its all-time high and recent bear/bull cycle. The financial market’s uncertainty surrounding rates of interest as well as the upcoming midterm elections may also have a role to play.
Are both markets tied together?
Bitcoin gained attention from the traditional markets recently, and many analysts have tied the price movements of the coin to the movements in the other sector. Even though both markets show signs of correlation, there is no substantial proof that the markets are correlated since the digital currency has only been in existence for a short while.
Bitcoin may be young, but it hasn’t tested a wider market recession like the traditional markets have.
BTC price analysis
Bitcoin is currently being traded at around $6,584, and it remains on a sideways trend in a narrow range. After carefully considering the data on the events and volumes, it can be said that no serious changes may occur this month.
The period of renewal of the futures contracts didn’t push progress as well. If things must change, we need some news. The entire crypto community is on standby waiting for news from the SEC. Sadly, the event has been postponed until next month, and there is no specific date to expect it.
This decision on the authorization of crypto funds can cause a price surge once and for all. Apparently, this is the news the community is waiting for, and they are holding free funds in anticipation. An exit from a restricted corridor will reveal the emergence of a trend.
As a part of the price analysis for today, crypto enthusiasts can expect price fluctuations to continue in a narrow range. Perhaps the present momentum accumulation may eventually be reflected by sharp price fluctuations on the chart. Still, we are not sure when this will happen. Presently, a possible scenario would be a price decline to $6,500 or $6,450 for testing support. If it drops abruptly below the $6,200 level, it may dip further to $5,900.