Boom! Kraken Predicts Imminent Bitcoin Price Rally of Up to 200%

0

Major U.S.-based crypto exchange Kraken has released a report predicting that Bitcoin (BTC) will rally by between 50% and 200% in the coming months.

The report notes that Bitcoin posted a 21-month low for volatility on July 24 of just 23%, and stated that BTC’s 12 historic volatility lows (of between 15% and 30%) have typically been followed by a rally of 140% on average.

With August usually the third-most volatile month for BTC price fluctuations, Kraken is predicting that upward momentum produced by Bitcoin at the end of July will continue for several months to come.

Late-July Bitcoin rally defies history

Kraken emphasized that Bitcoin’s recent rally resulted in the second-strongest July for BTC price performance since 2011 — noting that July was usually the third-weakest calendar month for Bitcoin.

Bitcoin’s 14.5% jump between July 27 to July 31 drove the month’s overall performance to a 24% gain, positioning the market for continued momentum, according to Kraken.

Prior to the move, July produced what the report describes as a “suppressed pocket” of weak volatility. Ten of the 12 past instances of Bitcoin entering a suppressed pocket have been followed by gains exceeding 196%.

Kraken estimates that 44% of July’s total trade volume transpired during the final seven days of the month.

BTC correlates with gold

The report also notes that Bitcoin’s rolling 30-day correlation with gold jumped to a one-year high of 0.93 on July 31.

The spike comes after the monthly correlation fell to a 10-month low of -0.66 on July 2 — contradicting predictions that gold and Bitcoin would emerge as popular ‘safe-haven’ assets and move in-step throughout the COVID-19 pandemic and recession.

Source link

Leave A Reply

Your email address will not be published.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

ethereum
Ethereum (ETH) $ 407.83 0.84%
chainlink
Chainlink (LINK) $ 12.04 1.73%
ampleforth
Ampleforth (AMPL) $ 1.11 5.62%
maker
Maker (MKR) $ 590.01 0.49%
compound-governance-token
Compound (COMP) $ 101.64 0.36%
havven
Synthetix Network Token (SNX) $ 3.77 2.60%
ethlend
Aave [OLD] (LEND) $ 0.405813 8.33%
kyber-network
Kyber Network (KNC) $ 0.927825 0.39%
0x
0x (ZRX) $ 0.374191 1.42%
augur
Augur (REP) $ 13.57 0.27%
republic-protocol
REN (REN) $ 0.334773 0.16%
loopring
Loopring (LRC) $ 0.165646 1.67%
bancor
Bancor Network Token (BNT) $ 0.932099 2.47%
yearn-finance
yearn.finance (YFI) $ 14,666.46 7.78%
band-protocol
Band Protocol (BAND) $ 5.89 5.08%
kava
Kava (KAVA) $ 1.90 2.44%
reserve-rights-token
Reserve Rights Token (RSR) $ 0.013709 5.23%