Bitcoin: New ATH and High Volatility in February

The 'outsized' volatility will persist, but in February the price of the first cryptocurrency will reach a new all-time high (ATH). This prediction was made by analyst and founder of MN Trading, Michael van de Poppe.

"As long as Bitcoin remains above $93,000, a new all-time high is quite likely," he wrote.

The Product Owner of the Bitsgap platform, Roman, observed:

• a "strong rebound" in Bitcoin's price from the trendline drawn on the October values of last year;
• an "engulfing" pattern;
• the reaching of the "strong" support level at $92,000 and the subsequent rebound.

All this, according to him, indicates the strength of buyers. However, overall, Bitcoin is "in a sideways trend".

CryptoQuant pointed out that the funding rate of perpetual contracts has turned negative. In the past six such instances, this anticipated bullish momentum.

Lookonchain noticed an interesting pattern: while Bitcoin lost and recovered the psychological $100,000 level six times in a row, Ethereum continued to depreciate, falling from $3,900 to $2,800.

QCP Capital suggested monitoring the upcoming press conference of 'crypto czar' David Sacks scheduled for tonight and the negotiations between the leaders of the US and China on tariffs.

"What future for digital assets? Uncertainty in trading continues to cloud forecasts. Options are evenly balanced between puts and calls until March," said the experts.

Previously, CryptoQuant had signalled a 'clean-up' of the cryptocurrency market from excessive leverage.

It is recalled that, over the next two months, digital gold will rise to $112,000-130,000 thanks to accelerating institutional inflows and a shift in sentiment towards greater risk appetite, according to Standard Chartered.

The Future of Bitcoin: Navigating Volatility

With the start of February, traders and investors in Bitcoin are bracing themselves for strong market fluctuations, with experts predicting both volatility and the possibility of a new all-time high. The cryptocurrency market, known for its rapid price movements, is set to experience intense trading activity, influenced by macroeconomic factors, institutional interest, and investor sentiment.

Analysts suggest that Bitcoin's price trend will be determined by elements such as the Federal Reserve's monetary policies, geopolitical developments, and the anticipation for the upcoming halving event. Short-term corrections could offer buying opportunities, while the long-term outlook remains optimistic. Historical trends show that major upturns often follow periods of high volatility, reinforcing predictions of a possible record price.

Institutional investors continue to play a key role, with increasing adoption in traditional financial markets. The launch of the ETFs on Bitcoin, increased corporate adoption and greater regulatory clarity all contribute to the asset's long-term strength. Although risks remain, including regulatory uncertainties and concerns about market manipulation, many experts believe Bitcoin maintains a strong bullish trajectory.

As traders deal with market fluctuations, targeted investment strategies, risk management and a constant update on global financial trends will be key to making the most of Bitcoin's potential in the coming months.