Bitcoin Volatility at Record Lows: Fundstrat Sees 30% Price Swing Ahead
Bitcoin's volatility has hit record lows, prompting Fundstrat's head of digital asset strategy, Sean Farrell, to warn investors that the cryptocurrency could swing by as much as 30% in either direction over the next two months.
This pattern of low volatility historically precedes significant price movements, with a median absolute price change of around 30% seen in past periods.
Farrell noted that rising real interest rates could push Bitcoin out of its current range, while also citing short liquidations as a factor driving the recent rebound in price.
The uncertainty surrounding the direction of this potential move is particularly noteworthy, with Farrell suggesting that it may be decisive and significant for investors to prepare for substantial price swings.