Bitcoin Trading--BTC/USD Technical Analysis, Dec 14: BTC Flatlines near $340
The last 24 hours have seen BTC converge to the low $340s, deviating by no more than 0.5% in either direction and the band further tightening around $342 during the past 12 hours. During that stretch, BTC further showed unusually flat behavior in plateauing at exactly $343 for 6 hours straight, possibly due to some large limit orders dominating otherwise ultra-light volume.
Traded volume has dropped to about 50 BTC/hour, well below the recent average, even for weekends.
The unusually flat behavior represents a major change to the relatively wild price swings experienced 72 hours ago, when BTC unexpectedly reversed to as high as $357 from a one-month low of $332.50--only to surrender these gains as it drifted back into the low $340s.
The recent flattening is more indicative of a low volume market where many players remain on the sidelines, as opposed to a genuine stabilization in prices.
When traders do return to the floor, a resumption of Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term is likely. BTC has convincingly crossed below its 50-day moving average (MA) and has been developing a pattern of decreasing points of resistance. Its immediate-term support level of $339 is also being repeatedly tested, and the next breach of this sensitive zone may send BTC past last week's low.
The last 24 hours have seen BTC converge to the low $340s, deviating by no more than 0.5% in either direction and the band further tightening around $342 during the past 12 hours. During that stretch, BTC further showed unusually flat behavior in plateauing at exactly $343 for 6 hours straight, possibly due to some large limit orders dominating otherwise ultra-light volume.
Traded volume has dropped to about 50 BTC/hour, well below the recent average, even for weekends.
The unusually flat behavior represents a major change to the relatively wild price swings experienced 72 hours ago, when BTC unexpectedly reversed to as high as $357 from a one-month low of $332.50--only to surrender these gains as it drifted back into the low $340s.
The recent flattening is more indicative of a low volume market where many players remain on the sidelines, as opposed to a genuine stabilization in prices.
When traders do return to the floor, a resumption of Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term is likely. BTC has convincingly crossed below its 50-day moving average (MA) and has been developing a pattern of decreasing points of resistance. Its immediate-term support level of $339 is also being repeatedly tested, and the next breach of this sensitive zone may send BTC past last week's low.