bullish

Bitcoin

when

Bitcoin’s volatility has passed the levels it reached during its all-time high in March and continues to rise, and traders think this could be the catalyst needed for BTC to finally break out of its consolidation phase.&nbsp;
But to trigger the rally, Bitcoin (<a data-ct-non-breakable="null" href="https://cointelegraph.com/bitcoin-price" rel="null" target="null" text="null">BTC</a>) must first hold above $61,000 and successfully retest the $62,000 level, which it hasn’t hit since Aug. 9.
“Bitcoin after a big slump in volatility levels, it’s now ramping back up and getting close to levels we saw earlier this year at the all-time highs,” pseudonymous crypto trader Daan Crypto Trades wrote in an Aug. 21 X <a data-ct-non-breakable="null" href="https://x.com/DaanCrypto/status/1826349302849175981" rel="null" target="null" text="null">post</a>.
“It’s what’s eventually needed to put an end to this massive consolidation in one way or another,” he added.
<h3 id="bitcoin-volatility-approaching-its-year-to-date-high">Bitcoin volatility approaching its year-to-date high</h3>
On Aug. 21, the Bitcoin Historical Volatility chart —&nbsp; a tool used to display the volatility of Bitcoin over a period of time — hit 3.42%, surpassing the 3.00% recorded on March 13, when Bitcoin reached its all-time high of $73,679, according to CoinGlass <a data-ct-non-breakable="null" href="https://www.coinglass.com/pro/i/bl" rel="null" target="null" text="null">data</a>.
Just under two weeks later, on March 26, Bitcoin’s volatility hit its highest point for 2024, at 4.28%.&nbsp;
While volatility isn’t a <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-price-volatility-record-levels-swan-rapha-zagury" rel="null" target="null" text="null">bullish signal by itself,</a> it indicates that Bitcoin’s price could see significant movement outside of its current price range. Traders warn that it could also cause the price to go the other way.&nbsp;
“Based on 10 years of price history there is a high chance that September will print cycle lows,” pseudonymous crypto trader TheoTrader <a data-ct-non-breakable="null" href="https://x.com/theo_crypto99/status/1826187186317775342" rel="null" target="null" text="null">added</a>.
<figure>
 <img alt="Bitcoin volatility ‘ramping up’ above ATH levels as price retests $62K" name="" src="https://s3.cointelegraph.com/uploads/2024-08/Screen%20Shot%202024-08-22%20at%2010.38.26%20am">
 <figcaption style="text-align: center;">
 Bitcoin is down 10.99% over the past 30 days. Source: CoinMarketCap
 </figcaption>
</figure>
Since the <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-halving" rel="null" target="null" text="null">April 20 Bitcoin halving</a>, Bitcoin prices have been consolidating in a wide range that extends from $49,842 to $72,000.
Increased volatility can benefit the market by attracting greater trader interest in speculating on Bitcoin’s next move and potentially more opportunities for traders to profit from price swings.
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-bull-run-important-chart-new-94t-all-time-high" rel="null" target="null" text="null">Bitcoin bull run’s ‘most important chart’ hits new $94T all-time high</a>
However, future traders appear to be bullish that Bitcoin’s price will go upward.
The put-to-call volume ratio, <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/bitcoin-price-indicators-improving-could-see-short-squeeze-analyst" rel="null" target="null" text="null">measuring the demand</a> for sell versus buy options, stands at 66.18% calls and 33.82% puts, resulting in a put-to-call ratio of 0.51.
At the time of publication, Bitcoin was trading at $60,875 after attempting to break through $62,000, but it fell short at $61,552, as <a data-ct-non-breakable="null" href="https://coinmarketcap.com/currencies/bitcoin/" rel="null" target="null" text="null">per</a> CoinMarketCap.&nbsp;
Crypto trader Matthew Hyland pointed out in an Aug. 22 X <a data-ct-non-breakable="null" href="https://x.com/MatthewHyland_/status/1826385172402765943" rel="null" target="null" text="null">post</a> that Bitcoin is “testing the neckline,” a trading pattern used to confirm support levels by drawing a line through the high points on Bitcoin’s price within a certain period.
Magazine: <a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/algorithm-choice-can-fix-social-media-but-only-on-decentralized-platforms/" rel="null" target="null" text="null">&nbsp;‘Algo choice’ could fix toxic social media — but ad dollars mean it won’t</a>
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin volatility ‘ramping up’ above ATH levels as price retests $62K

Table of Contents

Cointelegraph

Other articles published on Aug 22, 2024

Aleph Zero Launches Its EVM-Layer on Mainnet

Germany’s Crypto Crackdown Seizes Bitcoin and $28 Million in ATM Raids

What Should Investors Do in Bitcoin and Ethereum in Current Conditions? Long or Short? Experience...

WazirX Hack Update: Exchange Freezes Open Orders, Users Concerned

Donald Trump Introduced His New Cryptocurrency Project! Here's the First Share!

Changpeng Zhao ‘CZ’ is not Free He is in a Halfway House

Join our free newsletter for daily crypto updates!