Bitcoin Goes Low as of Past Two Years When Unsettling News Impacted Its Volatility
Bitcoin remained at an average 0.028 low which is as low as of its last twenty-three months performance. For over the last 180 days, its price value remained directionless but most of the time the volatility was dropping considerably.
Most recently in between Thursday and Friday last week, quite a few unsettling news also damaged Bitcoin’s volatility. Firstly the BitMEX’salongwith its founders were subjected to scrutiny by the US Commodities and Future Trading Commission. Later on, the US Department of Justice framed charges against BitMEX and its founders.
Secondly, the disturbing news that US President Donal Trump has been found positive for COVID-19 also severely impacted Bitcoin’s volatility. As a result of both unsettling news, at least a 5% low was recorded in the legendary cryptocurrency. Huge disruption has been caused in the market and the investors are reconsidering their investment strategies regarding Bitcoin.
Coin Metrics has compared the past month’s performance of Bitcoin’s volatility and reported that it has dropped at least 43%.
In the last week, many of the Bitcoin traders and investors were expecting a bullish. However, the results turned out to be contrary to their expectations. From the last weekend, many traders have been facing “bearish” on some of the most popular crypto exchanges.
The rates of investment on crypto exchanges like BitMEX, Hoabi, and OKEx turned out very low and recorded in the negative index. The traders were forced to hold short position, suggested Skew. Skew also expects that the result will remain the same or go further down for the coming weeks as well.
However, with a number of unsettling news coming in and disturbing the crypto market, buyers have been forced to reconsider strategies. As a strategy, some have started to converse the decline by attempting to push Bitcoin to US$ 10,640. Resultantly, Bitcoin, which went down to US$ 10,375 has gone up to US$ 10,640 gaining a 2.5% high.
But many of the investors are found to be withdrawing their investments from the BitMEX. The reason being that it has been undergoing strict scrutiny by the US CFTC. The exchange is also currently facing charges against itself and its founders.