Bitcoin price tailspin heads for $3,000 amid high volatility levels

  • Bitcoin volatility levels triple in one month matching those in March 2018.
  • BTC/USD embraces the moving averages support but still risks declines towards $3,000.

Bitcoin is still courting the year-to-date lows amid rising volatility. As reported by Cointelegraph, the asset’s Volatility Index had tripled by Sunday 9 in a single month. The volatility reached 5.53% in comparison to 1.57% recording on November 9. The volatility has been blowing off the roof rising from 2% to 4.53% in a single week. Moreover, there was a break above the 5% mark on November 29.

In the previous month, that is October 9th to November 9, Bitcoin volatility remained below 2.06%. It also stayed in a close range of 1.5 to 1.7% for most of the time in the month.

According to BTC Volatility Index, the asset last hit this the above levels in March 2018. At the time BTC was changing at 8,771. In October, the asset show maturity almost being mistaken for a stable coin due to its stability.

As discussed earlier in the day, Bitcoin price is still lagging the reaction to the heads-and-shoulders pattern. The crypto was recently rejected at $3,600 leading to a drop below $3,500. BTC/USD is trading in a bear range while at risk of sliding below the short-term support at $3,500. Both the 50 and the 100 moving averages are supporting providing immediate support on the hourly timeframe chart. Indicators on the same chart are pointing south to show that bears are here in full swing and if the $3,400 support is broken, we could see Bitcoin heading for $3,000. Meanwhile, one Bitcoin is valued at $3,466 at press time.

BTC/USD 1-hour chart

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