Bitcoin’s volume revisits April 2019 lows as liquidation spurts

The start of the new decade was a fresh start for Bitcoin too as the coin noted a sudden surge on 3 January, pushing its price above $7,200. According to recent research by Arcane, it was found that the market sentiment had stabilized. The Fear and Greed Index was found to be holding stable over the last week after recovering from December’s lows. Before the spike, Bitcoin was undergoing sideways movement, following which the market sentiment recorded a gradual climb.

Despite the sentiment changing, the Bitcoin volumes were noted to have registered new lows. According to the report, the 7-day average real trading volume was noting a downward trend, with 1 January noting a minimal volume of $192 million. The last time Bitcoin‘s volume had dipped to such levels was back in April 2019.

However, the inactivity during this period can be associated with the holiday season too.

Following the trend, Bitcoin’s volatility was also impacted during the holidays. The 30-day Bitcoin volatility was moving down over the last week and was getting closer to the 2.5% level. Read More...