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Bitcoin volatility at gold level

The Bitcoin price has barely moved for months.

By Finst News
• 1 min read
Bitcoin volatility at gold level

The Bitcoin price has barely moved for months. The volatility level is dropping to an all-time low - and approaching the stability of gold. This is according to data from Glassnode.

According to Glassnode, the assets' Bollinger bands, a technique widely used in technical analysis, are only 2.9 percent apart, indicating an exceptionally tight trading range. This situation has occurred only twice: September 2016 and January 2023.

The low volatility means traders are making very small margins. Bitcoin has been trading around US$30,000 for months. The standard deviation of daily returns on Bitcoin is at a low of 0.74 percent. This brings digital gold closer to real gold: the precious metal's return deviation has averaged 0.63 percent for years.

While short-term investors are ignoring the market for a while, long-term investors are betting on the next halving. These investors are mostly stacking sats.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, legal, or tax advice. The information provided may be incomplete, inaccurate, or outdated and should not be relied upon as such. Nothing on this website should be considered a recommendation to buy, sell, or hold any cryptocurrency. Investing in crypto-assets involves risk of loss.