Bitcoin and Ether now less volatile than oil: Report

After 3 months of low volatility, the cost of BTC broke out and developed new highs before running into resistance once again and seeing a sideways movement.Historical BTC price momentum after low volatility. Source: XThe expert concluded that Bitcoins rate leaps out of lows after a period of low volatility to form an initially high, followed by another second high, while a 3rd one is made against the crucial resistance.

The Bitcoin (BTC) and Ether (ETH) 90-day price volatility struck a new multi-year low in August as the leading 2 cryptocurrencies continue to trade under their crucial resistance of $30,000 and $2,000, respectively.According to data shared by crypto analytic company Kaiko, the 90-day volatility of BTC and ETH hit 35% and 37%, respectively, making it less unstable than oil, with volatility of 41%. Such a decline in the cost momentum of the leading 2 crypto possessions was last seen in 2016.90-day cost volatility of Bitcoin, Ether and oil. Source: KaikoThe chart above shows that BTCs and ETHs cost volatility is over half than at the very same time last year. While August is considered a bullish month for the crypto environment, the decreasing price change is thought about bullish by many.Apart from the 90-day volatility at its most affordable in 7 years, the everyday Bitcoin volatility is likewise at a five-year low. Bitcoin daily volatility reaches 5-year low. Source: TradingViewA Bitcoin technical analyst who goes by the social networks name of “CryptoCon” took to the X platform to share observations about Bitcoins rate volatility decline and what actually follows the duration of low volatility. Related: Bitcoin speculators now own the least BTC since $69K all-time highsThe technical analyst kept in mind that Bitcoins rate went through a similar cycle of low rate volatility in 2020 before the booming market got; nevertheless, they warned versus the sideways motion of the top cryptocurrency. #Bitcoin volatility continues to decrease, which Ive revealed is bullish But the burning concern is, when does the sideways grind end?Upon thinking about I was advised of a time very comparable to now … pic.twitter.com/psO50vxUWD— CryptoCon (@CryptoCon_) August 16, 2023

Other Questions People Ask

What does the report say about Bitcoin and Ether now less volatile than oil?

The report indicates that Bitcoin (BTC) and Ether (ETH) have reached a 90-day price volatility of 35% and 37%, respectively, making them less volatile than oil, which has a volatility of 41%. This marks a significant decline in volatility for both cryptocurrencies, with levels not seen since 2016. Such low volatility is often viewed as a precursor to potential price movements, suggesting that BTC and ETH may be gearing up for future price action.

How does the current volatility of Bitcoin and Ether compare to previous years?

Currently, the 90-day price volatility of Bitcoin and Ether is over half of what it was during the same period last year. This dramatic decrease indicates a stabilization in their prices, which could be interpreted as a bullish sign for investors. Historical data shows that similar low volatility periods have often preceded significant price increases, making this an important trend to monitor.

What implications does low volatility have for Bitcoin and Ether investors?

Low volatility in Bitcoin and Ether suggests that the market may be consolidating before a potential breakout or significant price movement. Investors should consider this period as an opportunity to analyze market trends and prepare for possible future volatility. Additionally, historical patterns indicate that after such low volatility phases, both cryptocurrencies may experience upward price momentum, making it crucial for investors to stay informed.

What are the predictions for Bitcoin and Ether following this low volatility period?

Following the current low volatility period, analysts predict that Bitcoin and Ether could see price increases as they break through crucial resistance levels. The technical analysis shared by experts suggests that after similar past cycles, both cryptocurrencies have historically made significant gains. However, caution is advised as sideways movements can also occur, so investors should remain vigilant and ready to act based on market signals.

How does the decline in Bitcoin and Ether's volatility affect the overall cryptocurrency market?

The decline in Bitcoin and Ether's volatility is generally seen as a positive indicator for the overall cryptocurrency market. It suggests a maturation of these assets, potentially attracting more institutional investors who prefer stability. As BTC and ETH stabilize, it may lead to increased confidence in the market, encouraging broader participation and investment across various cryptocurrencies.