- Bitcoin has seen extreme intraday volatility over the past few days.
- In the past two days, the coin has traded at both $17,500 and $18,800.
- Analysts don’t know what exactly to think about this price action.
- Prominent Bitcoin trader “Jack” recently shared the sentiment that he thinks this market is “wild.”
Bitcoin Undergoes Confusing Price Action Amid Volatility
Bitcoin has seen extreme intraday volatility over the past few days. In the past 48 hours, the leading cryptocurrency has traded at both $17,500 and $18,800 as the market whipsaws between key price levels.
As of this article’s writing, the price of the leading cryptocurrency is sitting at $18,500, though in the past hour, it has been at both $18,400 and $18,700. This extreme volatility comes as the U.S. dollar has begun to move lower once again, boosting Bitcoin, gold, and other harder assets.
Analysts don’t really know what exactly to think about this price action, though.
Prominent Bitcoin trader “Jack” recently shared the sentiment seen below, arguing that he thinks this market is “wild.”
Wow this market is wild
— //Fiat 𝕵ack 🐐 (@BTC_JackSparrow) November 23, 2020
He previously said that he has temporarily gone short on Bitcoin, at least to some extent. He may not be fully short but may be hedging in case the cryptocurrency moves lower in the days ahead.
The trader shared the chart below, which shows that Bitcoin is currently breaking below the parabolic supports that led the rally higher. Parabolic supports breaking in an uptrend are a sign that the rally is in the midst of getting exhausted.
Chart of BTC's price action over the past few months with an analysis by crypto trader "Fiat Jack" (@BTC_JackSparrow on Twitter) Source: BTCUSD from TradingView.com
Bulls in Control
Many say that Bitcoin bulls remain in control over the longer run. A senior analyst at Citibank, Tom Fitzpatrick, recently said that the fundamental case for the leading cryptocurrency is still strong despite any
“Bitcoin moves across borders easily and ownership is opaque. That last point is, I believe very relevant. The huge Fiscal deterioration of today has a cost in the future, either directly or indirectly. Directly it is that at some point the ‘bills have to be paid’, which means […] the money needs to be found.”
Dan Tapiero, a prominent macro investor, recently commented on Bitcoin’s outlook from here as well:
“First time I can recall #Bitcoin included in list of macro assets by BoAML blue chip fund mgr survey. Can’t imagine #btc does not outperform all other assets. Fastest horse! It’s so early for btc that it is only NOW being included and that’s AFTER 11yr +250% annualized perf.”
Analysts are optimistic that Bitcoin will continue higher in the longer term, whether or not a correction takes place.
Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts from TradingView.com Analysts Don't Know What to Think as Bitcoin Whipsaws Between $18k and $19k