Market situation: Price stability as Russian-Ukrainian dialogue becomes more likely

The price of bitcoin and digital currencies has stabilized somewhat since yesterday’s jump, as Russian and Ukrainian officials have become more inclined to talk about a ceasefire. Meanwhile, recent reports show that clashes between forces on both sides have reached the streets of Kiev.

According to Quinn Desk, the price of bitcoin and other digital currencies rose significantly yesterday after Russian officials announced they were ready to negotiate with Ukraine.

Kremlin spokesman Dmitry Peskov said yesterday that “Putin is ready to send a Russian delegation on his behalf to Minsk, the capital of Belarus, for talks.” However, Putin continued to say that the Russian president is not serious about negotiations with Ukraine. According to the latest reports from Ukraine, clashes in the capital Kiev have intensified in recent hours.

In recent days, financial markets, including digital currencies, have generally fluctuated sharply. The S & P500 has risen 2% in the last 24 hours and the Russian ruble has risen again against the dollar; Of course, the price of the ruble on world markets is still close to the lowest levels in history.

In the last 24 hours, bitcoin has performed worse than altcoins. While bitcoin has risen only 1.51 percent since yesterday, Atrium and Ripple have experienced jumps of 6 and 10 percent, respectively. Luna, Terra’s main digital currency, which is moving in the opposite direction on the market these days, has risen by about 10% in the last 24 hours.

As market volatility has increased recently, some analysts expect the price recovery trend to continue over the past 24 hours. On Thursday, the weekly implicit fluctuation of bitcoin reached 75% per year. This figure is higher than 1-month, 3-month and even 6-month rates; Just like what happened after the fall of May 2021 (May).

Implicit volatility is a tool used to predict the next possible price movements at certain intervals. The growth of this index means that it is declining, and its decrease means that the emotions of traders are up.

According to analysts, the reverse structure of the fluctuating trend in the price of bitcoin usually appears before it reaches the bottom of prices.

The current jump in bitcoin price volatility may be short-lived, but its impact on slowing the uptrend is likely to be noticeable.

QCP Capital recently wrote in a report:

The current jumps in market prices are likely to be accompanied by instantaneous (instantaneous) sales by investors and will hinder further price increases.

Is the increase in the volume of trade a positive or negative sign?

As market volatility increased, the volume of bitcoin transactions in major digital currency exchanges also reached its highest level since the December 5 market crash. Increasing market sales usually means that some investors have inadvertently lost their previous profits and left the market to avoid further losses; A move that could further lead to price jumps in the short term.

Over the last 24 hours, the buy-sell ratio has risen slightly, which means that traders feel more bullish. However, the volume of trade has been declining over the last few months.

David Duong, a senior researcher at the Kevin Bass Exchange, recently said:

Volume of trading on the stock exchange [کوین بیش] It still looks small as the space of the digital currency moves [قیمتی] Experience greatness. This situation shows a reduction in the willingness of investors to take risks and the limited actions of market participants.

Kevin Bass, the largest digital currency exchange in the United States and the second largest in the world, also released its fourth-quarter earnings report for 2021 on Thursday, which shows that stock market revenues during this period were higher. high than the experts’ forecasts. The exchange warned its shareholders about the sharp fluctuations in the digital currency market during this period and said it expects trading volume to decline in the first quarter of 2022.

Market situation: Price stability as Russian-Ukrainian dialogue becomes more likely
Graph of the volume of bitcoin trading in digital currency exchanges.

Post Market situation: Price stability in the intensified Russia-Ukraine dialogue first appeared on the digital currency.

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