Bitcoin dips back below the $30,000 mark as volatility returns


It's been a turbulent week for many cryptocurrencies, and Bitcoin is perhaps the most affected by the recent wave of bearish volatility in the decentralised markets.

After a brief rise above the $30,000 mark yesterday following a dip as low as $28,762 on Saturday May 14, it was looking good for Bitcoin by the very nex day when it hit $31.053 on Sunday.

As the working week began, however, the gains were totally erased and what had become viewed as a 'crypto crash' took place, with Bitcoin along with many altcoins losing considerable value.

By Monday, Bitcoin was down to $29,282 at 5.00pm on the European session, however by Tuesday it had begun yet another recovery and pushed above the $30,000 mark.

Now, however it is down again and by 7,00am BST this morning, Bitcoin had dropped 1.47% to $29,964.

This week's up and down movements have represented an overall upward move over the five day moving average, with Bitcoin up 2.51% which is 732 points over the five day period.

In some respects, the market had become a bit stagnant and investors had turned their eyes away from Bitcoin for a few weeks as it hovvered around the £30,000 mark and, unusually, did not move very much at all.

It now seems that volatility is back, and that Bitcoin movements are as interesting as they had been throughout most of the previous six months before the short period of stagnancy took hold.

Currently, in the overall cryptocurrency markets, eyes are on the potential outcome of the Ripple case, with the court date set for today in which the US Securities and Exchange Commission (SEC) and Ripple continue the long, drawn out litigation which Ripple is attempting to bring to an end with an out-of-court settlement.

If Ripple manages to settle this, it would be a milestone moment in which a major financial regulator has had to redact a high profile action against a company, however it may well still be down to the courts to make a ruling.

Ripple dipped in value over the past few days in anticipation of the court hearing which is scheduled for today, as it may not be the end of the case, and if Ripple wins, there are many analysts expecting a surge in value, however the possible outcome is yet unclear.

Other areas of interest this week have included 3 stablecoins which lost their $1 peg against the US dollar, those being Deus Finance's DEI, the much larger Terra, and perhaps most interestingly of all, the highest capitalised stablecoin in the world, Tether.

All this has done is increase interest in totally decentralised cryptocurrency, which may be partly the reason for Bitcoin's rejuvenated volatility.

FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.

*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Cryptocurrencies

BTC/USD Price Exceeds $60,000 Per Coin Bitcoin Price Risks Not Staying above $50k Ethereum Price Falls after Exceeding $3,000 Ethereum Price Exceeds $2,800 Bitcoin Price Exceeds Psychological Level of $50k

Latest articles

Forex Analysis

USD/JPY Technical Analysis: Yen Strengthens after Comments from Japanese Officials

This week has raised alarm bells for USD/JPY market participants who are trading the bullish momentum that has been going on since early 2024 (shown in the blue curved lines on the USD/JPY chart): → Vice Finance Minister Masato

Forex Analysis

The American Currency Resumes Its Growth

The American currency, despite a rather multidirectional fundamental data, resumes growth at the end of February. In the main currency pairs, one can observe both rebounds from key levels and continuation of the main trends. Thus, the USD/CAD pair


BTC/USD Price Exceeds $60,000 Per Coin

Several factors contributed to this: → Effect associated with the approval of Bitcoin ETF. The media writes that investments in these financial instruments amount to about 9k bitcoins per day, and miners produce only 900 bitcoins per day. The total investment

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.