Bitcoin price volatility will peak in 2021 as the analyst signals a target of $ 15,000

The current scenario of the cryptocurrency market is only intended for traders who have an extremely high risk appetite.For the faint of heart, however, analysts advise patience and caution in the future.

The outlook for Bitcoin (BTC) and Ether (ETH) is high, the most important cryptocurrencies by market capitalization that more or less act as the engine for the rest of the crypto market.As of Wednesday, ETH / USD has reached volatility near its 2017 highs over a 30-day periodaccording to data from Skew.

The 30-day realized volatility peaks of Bitcoin and Ether in 2021. Source: Bybt.com, Skew

Meanwhile, Bybt.com is showing Bitcoin’s 30-day volatility at its yearly high.This indicates that the benchmark will continue to be exposed to the risk of wild price fluctuations in the coming sessions. The top two crypto assets have a probability of moving in either direction with a higher degree of volatility.However, this could mean both aggressive gains and losses for day traders.

Buy at a bear market

Bitcoin price volatility will peak in 2021 as the analyst signals a target of $ 15,000
Bitcoin price volatility will peak in 2021 as the analyst signals a target of $ 15,000

The volatility alert is sounding as both Bitcoin and Ether have rallied incredible rallies following recent price drops.In hindsight, the BTC / USD pair fell more than 50% after hitting $ 65,000 in April, a correction that was partly due to it Elon Musk’s anti-bitcoin tweets and the repetition of China’s crypto ban last week.

Ether, whose positive correlation efficiency with Bitcoin is currently close to 0.88, followed the downward revision of the digital benchmark asset.The second largest cryptocurrency saw a maximum drop in market valuation of 60% compared to the record $ 4,380 since mid-April.

However, the bulls saw opportunities in such price declines as they helped Bitcoin and Ether prices rise 36.12% and 68.52%, respectively, from their local lows.Some analysts believed the bullish retreat would extend further amid supportive macroeconomic catalysts, most notably inflation fears.

The tech uptrend, Cathie Wood, who heads Ark Investment Management, reiterated its Bitcoin price target of $ 500,000 after last week’s crash, calling the decline “a really good time to buy”..

However, many also warned traders not to buy during a bearish correction phase.Analysts at BiotechValley Insights Consulting Group found that Bitcoin fell sharply even after the US consumer price index rose to 4.2%. Finding that the cryptocurrency market is currently going through a “fearful phase”.

“I think Bitcoin still has a long way to go”One of the BiotechValley analysts wrote on a note, “I think it will slowly slide down the slope of Hope with a periodic dead cat leap.”

The group called for a price target of $ 15,000 to $ 16,000 for Bitcoin.

Less risk appetite? Just wait

Koroush AK, an independent market analyst, took a pretty middle-aged approachTraders have been advised to wait for a significant rebound above short-term resistance levels before determining their market distortion tweet::

After falling over 60% in the market, it will take more than a small recovery to push the bias back into the bull market. Careful until we win 45,000 BTC and 3,400 ETH. [Yo] I will be patient here. You don’t have to catch exact funds or sell exact highs to make money. “

The most recent rally coincided with an increase in the number of outstanding Bitcoin futures contracts from $ 11 billion to $ 11.88 billion.This shows a steady increase in leveraged positions in the derivatives market. Meanwhile, more than $ 12 billion in long positions have been liquidated since the price drop on May 19.

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