Rally

Lunar New Year

when

Force

Lunar

Bitcoin recently attracted attention with its rise to $ 50,000. This significant jump came as no surprise to investors who have observed a recurring seasonal effect in the cryptocurrency market: Bitcoin tends to rise during the Lunar New Year period, when trading volume is generally lower.
The decline in transaction volume is largely attributed to the Lunar New Year holidays, a time when many people in the Asia Pacific region travel and attend festive events with their loved ones. Interestingly, Bitcoin reached the $50,000 level on February 12, just two days after the New Year officially started. Celebrations often last for a week or longer, coinciding with Bitcoin's price increase.
Shiliang Tang, President of major trading firm Arbelos Markets, noted that Bitcoin has historically trended upward around the Lunar New Year. “There is some seasonality behind the price movement,” Tang said. He also noted that the tradition of gifting money during the Lunar New Year could contribute to more positive market sentiment.
Related News: <a href="https://en.bitcoinsistemi.com/options-data-is-out-bulls-focus-on-surprise-price-in-bitcoin-for-june/" target="_blank" rel="noopener noreferrer nofollow">Options Data is Out: Bulls Focus on Surprise Price in Bitcoin for June</a>
However, it is important to remember that smaller volume trades can lead to more significant price fluctuations in both directions. CCData, a leading data analysis firm, observed that January trading volume was inflated by the excitement around Bitcoin ETFs, but was still lower compared to the historical average.
CCData Research Leader Joshua de Vos stated that the average daily volume since January 2021 has been around $198 billion. However, volume during the Lunar New Year holidays was significantly lower compared to the rest of the year. “These data support the thesis that Lunar New Year significantly reduces average daily volumes,” De Vos said.
*This is not investment advice.
 Continue Reading: <a href="https://en.bitcoinsistemi.com/what-was-the-force-behind-bitcoins-rally-yesterday-analysts-point-to-china/" rel="noopener noreferrer nofollow">What Was the Force Behind Bitcoin’s Rally Yesterday? Analysts Point to China</a>

What Was the Force Behind Bitcoin’s Rally Yesterday? Analysts Point to China

Bitcoin Sistemi EN

Other articles published on Feb 13, 2024

Texas Bitcoin Mining Sector Challenges Federal Energy Survey

Will Pushd (PUSHD) be your valentine or will Optimism (OP) & Bitcoin (BTC) gains give you enough ...

Bitcoin’s Sudden Drop Sparks Market Anxiety, Analyst Advises Against Hasty Selling

Spot Bitcoin ETFs Surge as Investment Funds Gather More Than Miners Produce

Bitcoin Hits $50K Milestone, The Latest Bull-run Continues

Heroes Of Mavia Price Prediction: MAVIA Pumps 15% As Gaming Tokens Surge And Analysts Say This Ga...

Join our free newsletter for daily crypto updates!