Bitcoin Volatility Surge: Critical Price Movement Imminent

On Binance, Bitcoin is seeing increased volatility with some abnormal trading indications. There are a number of signals that reflect a drastic change in prices as the market structure becomes weaker.

Bitcoin is at a crossroads. Volatility signals on large exchanges are sending warning signals, and recent statistics indicate that they are displaying unusual market actions that historically presuppose significant price fluctuations.

According to Binance records, the volume-weighted average price of Bitcoin was at 79,870 USD yesterday. The volume of daily trade was approximately 39,500 BTC, compared to the recent listless days. However, the price has not changed significantly, which is indicative of intense buyer-seller competition.

Extreme Volatility Metrics Flash Red

According to CryptoQuant data, standardized volatility metrics have gone to unprecedented heights. Current volatility is multiple standard deviations higher than the 30-day average since the vol z30 index rose to +2.69, and range z30 rose to +3.72.

Source : CryptoQuant 

Value above +3 in the range in z30 has made historical cues of steep price movement. Strong upward breakout or sharp decline due to a liquidation of leveraged positions is the usual destination of markets.

The percentage range stands at 0.106%, which affirms that the price has a narrow band. But volume activity speaks otherwise: the short-term speculation is back in spite of the fact that the price has remained sideways.

You might also like: Epstein Emails Expose Bitcoin’s Power Players

Market Structure Shows Bearish Signals

According to CryptoQuant statistics, Bitcoin is trading at a lower price than the realized price of holders with 12-18 months in the market. This group has now entered a negative unrealized profit/loss number. Traditionally, these pauses are an indication of a structural bearish regime, as opposed to a temporary correction.

Source: CryptoQuant 

This holder group still has substantial positions in supply as shown by balance data. The balance change over 30 days remains positive, but the pace of accumulation is decelerating to indicate a declining belief among medium-term holders.

Realized price levels are now overhead resistant. When the spot price remains below stable or increasing realized cost, rallies tend to fail, as sellers seek breakeven ramps.

Technical Signals Point to Rebound

Several Bitcoin TD buy signals have been identified by Ali Charts. Based on such charts, there could be a reversal shortly, since TD Sequential trends are recognized to indicate pattern reversals of a trend.

Source: Alicharts 

The combination of highly volatile measures and positive technical purchase recommendations generates inconsistent stories. It has doubts traders as the bearish structure confronts the bullish technical setup.

The market structure is inclined towards consolidation until Bitcoin reaches realized price levels via fresh accumulation. Weak recoveries and high negative risk persist despite indications of an upward turn.

The post Bitcoin Volatility Surge: Critical Price Movement Imminent appeared first on Live Bitcoin News.