Bitcoin Explosive Indicator Starts Flashing

There are a lot of optimistic predictions about the prices of digital assets these days. Check out the latest ones and find out exciting details about an important Bitcoin indicator that just started flashing.

At the moment of writing this article, BTC is trading in the red, and the king coin is priced at $19,303.

It’s been just revealed that a widely followed economist Alex Krüger says there’s an under-the-radar indicator flashing that has historically signaled volatility in Bitcoin (BTC).

Krüger said not too long ago that he has his eye on the Bitcoin volatility index (BVOL), which measures BTC’s volatility on a 30-day annualized basis using the time weighted average price (TWAP).

According to Krüger, BVOL closing below 25 has historically preceded huge moves.

“Every time BVOL closed below 25, an explosive Bitcoin move soon followed. Twice up, once down (Nov 2018).”

He also made sure to explain that Thursday’s consumer price index (CPI) announcement could be the fundamental catalyst that sparks Bitcoin’s next wave of volatility in either direction.

As the online publication thr Daily Hodl notes, inflation is forecasted to come in at 8.1% year-on-year this week. This means that significantly higher or lower figure could trigger volatility in BTC.

All in all, he believes that Bitcoin’s technicals appear positive, with BTC attempting to make a break against a nearly year-long diagonal resistance line.

“BTC looking good, everybody looking at the same levels.”

He also shared a chart showing a correlation between Bitcoin and the Nasdaq.

“This is incredible. Maybe crypto traders should start hedging their longs not with ETH or BTC perps but with Nasdaq futures.”

Not too long ago, we were writing that Shark Tank investor Kevin O’Leary believes there’s one thing preventing Bitcoin (BTC) from getting out of its current trading range.

In a new interview with Circle CEO Jeremy Allaire, O’Leary says getting the support of US policymakers could trigger an influx of institutional capital into the crypto markets, sparking a Bitcoin breakout.