The Bitcoin (BTC) price sojourn across “flatland” continues despite a week of troubling news both within and outside the crypto space.
Bitcoin Price Survives Eventful Week Unscathed
According to data from on-chain analytics provider Coin Metrics, the 30-day Bitcoin price volatility in down more than 43%. This current decline has seen the BTC volatility fall to its lowest level in over 23 months.
Bitcoin’s continued decrease in volatility comes even after a testing week for the crypto market in general. As previously reported , U.S. law enforcement arrested a co-founder of the popular crypto derivatives exchange BitMEX, with the platform also under investigation by the Department of Justice (DoJ).
The news of the issues facing BitMEX did cause a slight price dip with BTC dropping about 5 percent. BitMEX also saw massive outflows from its exchange as traders sought to move their funds to other exchanges.
Outside the crypto space, the news of the U.S. President Donald Trump testing positive for the coronavirus also caused some turbulence in the market. However, Bitcoin surmounted these stressors and is back to its sideways accumulation price action as indicated by the shrinking volatility.
The events at the start of October has also not caused a “flippening” in trader sentiments as longs still account for a greater proportion of BTC derivatives bet. According to data from crypto derivatives analytics platform Datamish.com, Bitcoin longs still dominate the market with over 86 percent of BTC derivatives bet in long positions.
Positive Signs for Bullish End to 2020 for BTC
While Bitcoin remains range-bound and locked in a tight accumulation zone, bullish sentiment continues to grow among industry commentators. According to Bloomberg, Bitcoin is on course to reach $100,000 by the year 2025.
In the short to medium term, several on-chain indicators point to BTC enjoying a bullish run in Q4 2020. According to data from crypto analytics service Glassnode, the network is seeing a significant increase in new entities pointing to renewed optimism about the future of the largest crypto by market capitalization.
This uptick in new money might get a further boost following reports of a new stimulus package in the U.S. During the last round of relief payments to Americans, Bitcoin saw a significant amount of $1,200 buys, the same amount as the checks to people in the country.