Bitcoin is popping its head up over the $40,000 mark, as the crypto world generally recovers from a prior downturn.
Ethereum is doing the same, with values over $3000 this morning.
The crypto sector, in general, is up around 3.3%, according to Jet Encila at NewsBtc, who also addresses current outflows.
“Crypto funds had their second consecutive week of withdrawals as Bitcoin grew more interest rate sensitive and investors adjusted to the Federal Reserve’s hawkish stance, CoinShares reported Wednesday,” Encila writes. “According to CoinShares, crypto funds saw a net outflow of $97 million in the seven days ending April 15. This is a significant change from the previous week, when the majority of the $134 million in outflows came from US funds.”
Analysts quoted in the story talk about watching the dollar currency index, to figure out how dollar changes are going to influence BTC and other crypto assets.
There’s also lower volatility in Bitcoin right now, according to Omkar Godbole at Coindesk.
“There is a clam (sic) in the bitcoin (BTC) market, the likes of which we last saw before the beginning of the late 2020 bull run,” Godbole writes, assumedly mistyping the word ‘calm.’ “The leading cryptocurrency’s 30-day volatility, which measures the standard deviation of daily returns over four weeks, has declined to 2.2%, the lowest since November 5, 2020, according to data provided by Arcane Research. The gauge peaked above 6% in June 2021 and has been on a declining trend ever since, barring the temporary spike to 4.5% around the March Federal Reserve (Fed) meeting.”
Godbole also provides a historical comparison:
“The previous low volatility regime lasted for over two months,” he writes, “from late September to early November, with the cryptocurrency trading mainly in the range of $10,000 to $13,000. The breakout happened on Nov. 5, with prices rallying well above the June 2019 high of $13,800.”
Watch BTC this week.
