The leading currency, bitcoin, took its place above the $52k mark today the 18th of February 2021. It appears that both the bulls and the bears are anticipating even more price fluctuations as the leading currency goes round the $51k – $52k range.
Andrew Tu, a C-suite executive at Efficient Frontier, quantitative trading firm notes that:
“Markets look relatively bullish for the medium run,”
“A number of technical indicators at the shorter time frames say that things are going to temporarily top out before heading back up.”
Nevertheless, Darius Sit, who is the Chief Executive Officer of Singapore-headquartered QCP Capital cautions anyone who is willing to listen that the leading currency is on its way to a short-term tank as it has in fact been over-leveraged on by the high net worth and institutional investors who have influenced the continuous hike in the value of the digital gold to series of ATHs. He emphasized that the digital gold is set to tank at least in the short term.
From records since February 2020, this has not been experienced for the mentioned term.
“Given how expensive it is to keep leverage long now, it would possibly see some unwinding of leverage,”
Data shows that the crypto market is “overbought”, i.e., over-leveraged, therefore fueling market price fluctuations in real time.
BTC is not the only crypto that is battling price volatility; the native coin of the Ethereum blockchain, ether’s (ETH) also experienced significant price volatility after hitting the $1,928k mark while exchanging hands during the “Asian trading hours”.
At the time of writing this piece, BTC was confirmed to be trading at $51,760.40