Volatility in the market has decreased substantially as of late, making bitcoin potentially more appealing to institutional investors
Bitcoin price has steadied in a tight range just above the 20-DMA these days. The digital currency is trading marginally below the $60,000 figure that represents the immediate upside hurdle on the way to fresh all-time highs last seen at $61,745 in mid-March. Following that spike, the coin retreated, to find support at the $50,000 psychological handle on March 25. Since then, the prices are trending modestly higher but still refraining from a decisive recovery above $60,000.
The volatility in the market has decreased substantially as of late, making bitcoin potentially more appealing to institutional investors in the longer run. On the negative side, Singapore once again warned the public about the risks of trading cryptocurrencies like bitcoin, highlighting that digital assets are certainly not suitable for retail investors.
Of note, rising bitcoin and cryptocurrency prices pushed the value of the entire cryptocurrency market over $2 trillion for the first time on Monday, more than doubling so far this year. А break above the $2-trillion-barrier could add to the upbeat tone in the markets and thus send the prices higher after the current consolidation.
If so, the BTCUSD pair would stage a stronger bounce from the mentioned 20-day moving average (today at $56,850) and see fresh all-time tops following a recovery above the $60,000 threshold. On the downside, the intermediate support is represented by the $54,000 figure, followed by the $50,000 level.
To see another strong leg higher, the leading cryptocurrency by market capitalization, which has risen by about 36% over the past month, now awaits fresh institutional demand. A day earlier, a brief jump in BTC came after MicroStrategy bought $15 million of BTC at an average price of $59,339 per coin.