Bitcoin (BTC) Price Range For September Lowest Since July 2017 As Volatility Trends Down
Bitcoin's investors saw some a very stable month, with the cryptocurrency, trading in a very narrow range throughout September. The leading cryptocurrency's price ranged between approximately $6,100 and $7,430, the lowest since the summer of 2017.
Bitcoin’s investors saw some a very stable month, with the cryptocurrency, trading in a very narrow range throughout September. The leading cryptocurrency’s price ranged between approximately $6,100 and $7,377, the lowest since the summer of 2017.
Tight price range for September 2018
The leading digital asset traded in a relatively tight range that fell short of $1,500 for the month. Compared to other monthly trading ranges, this is the narrowest 30-day trading range for Bitcoin since July 2017.
Data from TradingView shows that Bitcoin (BTC) ended its 30-day trading period within a range of $1,277.
According to data, prices for the top coin alternated between a monthly low just above $6,100 and a corresponding high of $7,377.
Overall, September has had the lowest trading range for bitcoin over a month-long period for the first time since hitting July 2017, when BTC prices traded in a very tight range of just $1,095. Also to note, Bitcoin’s average trading volume for September was at its lowest since April 2017.
Volatitlity continues to drop
Further, Bitcoin’s volatility has continued trending down, with its 30-day volatility standing at 2.55%.
Among the top digital currencies, Bitcoin is the least volatile crypto asset with a monthly volatility for the last 30 days at just over 2.5 percent compared to Ethereum (6.8%), Ripple (9.3%), and EOS (6.3%).
Bitcoin is, without a doubt, the coin with the most liquidity, so even large trades often have a negligible impact on its price compared to altcoins. While BTC does experience lower price volatility as a result, it still fluctuates significantly more than fiat.
For Bitcoin, a key trend has been that low volatility and low trading volume have often combined to significantly affect the coin’s price. Given that September boasted one of the lowest range movements in over a year, BTC could be set for a big move.
Bitcoin at a crossroads
Bitcoin, and indeed the cryptocurrency market as a whole, has experienced price declines over much of 2018, a trend that began in December 2017 after hitting its all-time high of almost $20,000.
Should prices slide below September’s low of about $6,100, then it would likely be a sign of further declines, possibly sending the value of the leading cryptocurrency towards its previous support levels just under $5,000.
On the other hand, Bitcoin prices in October could surge past September’s high of $7,429, indicating market revival, and signaling further upward movement that can be a precursor to longer-term price rally.
There are several parallels between Bitcoin’s 2018 bear market and that of 2014-2015.
The current price of BTC is at its 20-month moving average as it begins the eleventh month of downturn. Looking at the 2014/15 market, we find a similar scenario, where the eleventh month also started at its 20-month moving averages.
Bitcoin is set for a decisive move, which could be mirror the explosive growth seen three years ago. However, since its low volatility makes it less risky compared to other cryptocurrencies, so it is possible its decline won’t be as drastic as the one experienced in 2014.
Whether Bitcoin’s upward momentum will be triggered in October by hitting $7,500 or if the market will continue to stagnate remains to be seen.