Bitcoin BTC remained rigidly pegged at the $19,000 mark at the weekly close on Oct. 16, as analysts warned that volatility was long overdue.
An analyst believes that the arrival of volatility is a matter of time
Data from Cointelegraph Markets Pro and TradingView captured a lackluster weekend for the BTC/USD pair, as it barely moved on after-hours.
After economic data from the United States triggered a series of false signature events throughout the week, Bitcoin returned to its original position, and at the time of writing. It showed no signs of abandoning its established rank.
For Michaël van de Poppe, founder and CEO of trading platform Eight Global, it is not a question of “if”, but rather “when” unpredictability will return to cryptocurrencies.
“It is a matter of time before massive volatility returns to the markets, after four months of consolidation”, said to his Twitter followers that day.
“Most are still assuming that we will continue to see downhill markets, but I think the odds of momentum to the upside have increased.”
The week’s macro figures managed to trigger a run to one-week highs for the BTC/USD pair, with another popular commentator Il Capo of Crypto holding that a bear market relief rally could see $21,000 return. before the fall continues.
In a Twitter update before the weekly close, revealed his belief that “the whole market” was about to win.
“The capitulation will happen, but not yet”, added in part of a later debate on market prospects.
With this, Bitcoin was in line to end the second week of October down 1.5% from the start of the month, its worst performance since 2018 and a far cry from its 40% gains from 2021.
Stocks could spoil the party for cryptocurrencies
Looking ahead, market participants viewed the current correlation with equity markets as evidence that the short-term outlook for Bitcoin is not very positive.
With the Nasdaq Composite Index having its first weekly close below the 200-period moving average in 14 years, comparisons to the dot-com crash and global financial crisis of 2008 abounded on social media.
“This was a pivotal moment for the previous two 50-80% bear markets in 2000 and 2008,” commented Nicolas Merten, founder of the DataDash YouTube channel, in a post on the subject.
“Bitcoin has never seen anything like this, so expect a lot more pain to come.”
As Cointelegraph reported, not everyone was bearish beyond the short term, with LookIntoBitcoin creator Philip Swift predicting the end of the 2022 bear market by the end of the year.
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