- Bitcoin started the year with a high rate of volatility in its price.
- Currently, the cryptocurrency presents a volatility of 2.62%, a low figure compared to previous years.
- The price of Bitcoin has not exceeded 25,000 USD. still hovering between $23,000 and $25,000
The main cryptocurrency in the market, Bitcoin, started the year with a high index of volatility in its price. The world-renowned crash of the FTX exchange has had a major influence on the broader market.
Crypto analytics platform CoinGlass posted volatility figures of 2.62% currently, up from 2.89% previously. Last year, on December 7, that number was at 3.66% and the price of Bitcoin was at USD 17,000 in the midst of the crisis that the market was going through.
The next day, volatility fell to 2.58%. The highest experienced was weeks before, reaching almost 4%. The coinless analysis presents a relationship between the events of the failed FTX and the fall in the price of Bitcoin; from USD 20,600 it fell to USD 16,000 between December 7 and 9, when it was trying to exceed that 4%.
Bitcoin has managed to increase its price by up to 50% this year. According to the information published by TradingView, the price of the cryptocurrency has been swinging between USD 23,000 and USD 25,000 these days.
Despite having touched more than 3% volatility, if compared to last year’s movement, the current indices are lower. Historically, Bitcoin has been able to stabilize its price.
In May 2020, the volatility reached 9%, a few years back, in 2013, the number was 16% in Bitcoin movements.
The ability to remain stable and the rise in the price of Bitcoin over time are two sufficient reasons for all defenders who bet on the currency as a store of value. His recommendation is to keep it as a long-term savings instrument.
