Bitcoin shows stability in volatile crypto market

Bitcoin, the largest digital currency, has been trading within a fairly narrow trading band between $60,000 and $70,000 for several months (3 and a half months to be precise). If Bitcoin were a share, it would actually be a fairly stable period. And while people widely warn about the volatility of crypto and Bitcoin is usually compared to tech stocks in terms of movement.

#BITCOIN DAILY trying to do the right things but volumes are dead. boring. pic.twitter.com/6O4nSQRRXF

— Ca1cu1ated (@ca1cu1ated) June 27, 2024

That seems to have completely disappeared for Bitcoin lately. Meanwhile, memecoins such as Pepe and Dogwifhat set high peaks and deep valleys. What is going on?

Parallel

The last time we saw such a long period of price stability was actually in 2023. The largest digital currency barely moved from March to September, before surging nearly 60% after BlackRock admitted it had filed for a Bitcoin ETF with the US stock market watchdog.

However, looking further back, there was also a similar period in 2021, where Bitcoin rose to $50,000 for the very first time, and then fell back to $30,000 in June. Towards the end of the summer, a higher peak was again sought and that movement continued until the spring of 2022.

Halving

Crypto analysts think that Bitcoin miners are currently selling their Bitcoins quickly because they are still getting used to the new post-halving costs and that this is putting pressure on the price.

After the #Bitcoin halving in 2020 $BTC ranged 150 days in a boring price range between $9,000-$11,000

We are currently 60 days after the halving and people are deeply depressed about the price action . pic.twitter.com/9mkBFtdhhJ

— BITCOIN HALVING 💥 (@BitcoinHalving5) June 27, 2024

On the other hand, we should not lose sight of the fact that this ‘drilling’ period ended in 2023 with a big jump higher. Hopefully we’ll see the same scene in a few weeks.