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p>Investors are waiting for more volatility in bitcoin and other cryptocurrency, as fears of an overly hawkish Federal Reserve threaten to squelch market appetite for risk in all markets.The volatility normally that is characteristic of cryptocurrency has been all over the news in recent weeks. Bitcoin , the largest cryptocurrency, is up by approximately 33% since Jan. 24 and was recently trading at $43,850. https://anotepad.com/notes/awtrxp2j is a rebound from falling to a point that cut the value by half from the record price. The primary competitor, ether , has risen by around 45percent since Jan. 24 when it was trading around $3200 as of Jan. 24, following a 56 percentage plunge from its previous record high of $4,868, the same month in November.<iframe src="https://www.youtube.com/embed/OfVumcKtpG8" width="560" height="315" frameborder="0" allowfullscreen></iframe>When advocates of cryptocurrencies touted their lack of correlation to other assets bitcoin and its ilk experienced huge gains over the recent two years, gaining along with stocks as the Fed in addition to other central banks have pumped extraordinary levels of stimulus into the global economy. https://caredward7.tumblr.com/post/676025679735816192/how-to-buy-bitcoin is up 1,039% since March 2020 and the ether price has increased 2940%. But https://controlc.com/541ed068 in both cryptocurrency have been cut short by a variety of stomach churning sales.Their recent volatility is part of a larger market selloff driven by investors making adjustments to their portfolios to account for the more aggressive Fed that is predicted to raise rates up to seven times in the coming year as it combats a rising rate of inflation. The standard S&P 500 index (.SPX) has dropped 5.5 percentage year-to date, while the tech-heavy Nasdaq (.IXIC) also has dropped 9.3%.Insecurity that a rapid central bank tightening cycle moving into the future will harm risky assets has made it difficult for traders to maintain their positive outlook for bitcoin and other cryptos as an asset class associated with extreme volatility.An increase in tensions in Ukraine that are escalating in Ukraine, where Washington warned a Russian invasion could take place anytime soon, can cause market volatility analysts said. Learn moreBitcoin is "really become the ultimate movement trade," and there are multiple risks that could trigger a 40% drop that appears out of thin air," said Ed Moya as the senior analyst of Oanda.Bitcoin's volatility hasn't stopped some analysts from trying to determine what the price of Bitcoin is or even identify important price points.Analysts at JPMorgan believe that bitcoin's fair value at about $38,000 . This is roughly 15% less than its current price based primarily on its variability in comparison with the volatility of gold. Gold is an asset commonly used by investors to protect their portfolios from rising inflation and economic uncertainty.Vanda Research, meanwhile, reported in a recent document that most of the negative bets on the weaker bitcoin price were placed around $47,000, and "there could be a major short-squeeze should the threshold is reached, and retail investors are reintroduced back to crypto-trading."In addition, the correlations between bitcoin and the S&P500 climbed to the all-time highest on Jan 31, according the data of BofA Global Research, undercutting some of the arguments made by those hoping for the use of cryptocurrency as an asset to shield against market volatility.Investors next week can look forward to minutes from the Fed's most recent financial policy meeting due out on Wednesday. Walmart (WMT.N) and chipmaker Nvidia Corp (NVDA.O) will be among the companies to announce results, as corporate earnings season gets underway.Some investors are planning to take advantage of the volatility of bitcoin, assuming that the long-term value proposition for blockchain tech, its built in supply limit, and the effect that it brings, will be able to endure regardless of the numerous price swings.Jurrien Timmer, director of macro-economics at Fidelity is comparing the current speculation on cryptocurrency to volatility experienced by tech stocks during the dotcom period more than 20 years ago, a boom and bust cycle that left the smallest number of companies left standing."Amazon is still going strong and Apple is still around , and they're bigger than they've ever been and they're hoping that for bitcoin, it'll do similarly," explained the man. "But bitcoin isn't immune to those waves of speculation and sentiment."Bitcoin could hit $100 million by 2023, Timmer has said, Based on his supply-demand models.Others believe that mature cryptos like bitcoin and ether aren't likely to make the incredible gains that they have had since the time of their creation.Instead, they're looking at the possibilities of new alternative coins in development to capitalize of the money flowing into the crypto market, including the metaverse and NFTs. http://bvkrongbong.com/Default.aspx?tabid=120&ch=420763 accounted for more than the equivalent of $30 billion in venture capital investment last year, according PitchBook?.<img width="467" src="">There are a few altcoins like cosmos, Terra Luna, and Polkadot with a drop of around 20.5 percent, 38% and 25.5 percent from the beginning of the year, respectively, from coinmarketcap.com.The understanding of the risks that come with their decentralized nature and financial systems is likely to be one of principal challenges facing investors in 2022. Lily Francus, director of quantitative research strategy at Moody's Analytics.Cryptocurrencies "are going to remain volatile in the coming years, but there are significant players both on the institutional side and the retail side that are still expanding, which means that the demand continues to grow," said Oanda's Moya.

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