Bitcoin $117,555.45 The price pointed to the change in market conditions by declining at the highest level it reached soon. This decrease has raised concerns that there may be a process that paves the way for the increases of volatility observed in the past. According to expert assessments, the market is currently very calm against possible fluctuations.
Volatility Index History levels
The Bitcoin DVOL index, which is closely monitored in the crypto currency market, shows that volatility decreases to extremely low levels. According to the measurements of this index, only 2.6 percent of the total days was as low as the volatility was as low as today. This reflects a period in which participants avoid taking precautions against possible fluctuations.
While DVOL measures the expected price fluctuations in the next month, the current low levels suggest that there is a relief in the risk perceptions of investors. However, experts usually report that such quiet periods of volatility increases are followed. Therefore, it may be possible to see harsh movements in possible market shocks.
According to a market analyst, “The fact that the DVOL index is so low increases the expectations of investors that the prices will not move much in the short term. However, in history, there has been frequently encountered in unexpected fluctuations after such quiet periods”
DVOL is currently very low; This shows that investors do not expect risk in the short term. However, in previous examples, such processes often led to harsh fluctuations.
Long -term investors in waiting
The change in Bitcoin’s general macro momentum became evident in investor behaviors. Long -term holders (LTH) slowed down the net position change, showing a decrease in the activity of this group in the market. Although the purchases increased at the beginning of the month, this trend stopped afterwards.
Although new purchases have slowed down, the fact that sales pressure is not seen points to an optimistic expectation. According to experts, long -term investors probably continue to expect the direction in the market to become clear. This group does not seem to have given up its current positions with the idea that a sudden increase in volatility may bring price advantage in the long term.
According to a market expert,
LTHs do not make new purchases, but they do not dispose of their current positions; This may be an indication of a cautious optimism of the future.
Pay attention to price support
Although the price of Bitcoin follows a upward course during the month, it fell hard on a hard way on a last day and fell to approximately $ 117.305. This decline caused the rise to go under the trend line, and there was a change in the market feeling.
Some market experts point out that Bitcoin can hold over $ 117,000 if investors maintain their current positions in the face of the increase in volatility and that the price can rise to $ 120,000. If this level becomes a new support point, it seems possible to continue the upward movements.
On the other hand, if the possible sales pressure in the market increases, the price of Bitcoin loses significant support levels and may decrease to $ 112,526. In this scenario, it is stated that the recent value increases can be returned.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
