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p>Investors are looking forward to more gyrations in bitcoin and other cryptocurrencies, amid concerns that an aggressive Federal Reserve threaten to squelch the appetite for risk across markets.</p><p>The volatility traditionally associated with cryptocurrencies is prominent during the last few weeks. Bitcoin is the biggest cryptocurrency, is now up approximately 33% since Jan. 24 and is currently trading at $43,850. The price has risen from the plunge that cut its price by half from its record-setting highest. Its biggest rival, ether is up 45percent since Jan. 24 at around $3,200 in the wake of a near 56 percent drop from its record-setting $4,868 as of November.</p><p></p><p>The advocates of cryptocurrency have previously boasted of their lack of a correlation to other assets however, bitcoin as well as its rivals gained hugely over the last two years, rallying alongside stocks as Fed along with other central bankers pumped unimaginable amounts of stimulus to the global economy. Bitcoin is up 1,039% since March 2020 and Ethereum has grown by 2,940%, though the rises of both currencies have seen a flurry of stomach-churning sales.</p><p><img width="481" src=""></p><p>The recent volatility in the market has occurred amid a broad market selling spurred by investors refining their portfolios to prepare for an even more aggressive Fed, which is now expecting to raise rates in the range of seven times this year while it fights rising inflation. The most widely used S&P 500 index (.SPX) has dropped 5.5 percentage year-to date, while the technology-focused Nasdaq (.IXIC) had lost 9.3 percent..</p><p>Concerns that an aggressive government tightening of the pace going forward will be a savage blow to volatile assets has made difficult for some traders to maintain their positive outlook regarding bitcoin and other digital currencies. http://bvkrongbong.com/Default.aspx?tabid=120&ch=424174 has already been associated with extreme volatility.</p><p></p><p>Tensions are rising in Ukraine, where Washington warned a Russian invasion could take place anytime soon, could lead to market shifts in the future according to investors. read more</p><p>Bitcoin does "really become the ultimate trading platform and there are multiple risks that could cause a 40% plunge suddenly," said Ed Moya Oanda's senior analyst. Oanda.</p><p>The volatility of Bitcoin hasn't stopped analysts from trying to gauge the market's value, or pinpoint potential price points.</p><p>Analysts at JPMorgan believe that bitcoin's fair value at around $38,000 . https://bvphusanct.com.vn/Default.aspx?tabid=120&ch=23696 's about 15% lower than its current cost based on the variation in relation to that of gold, which is another asset traders often use to hedge their portfolios against volatility in the economy and inflation.</p><p>Vanda Research, meanwhile, said in a recent note that most of the bearish bets on a weaker bitcoin price were placed around $47,000 "there is a possibility of a significant short squeeze if that threshold is met, and retail investors are reintroduced back to crypto-trading."</p><p>While bitcoin's correlations with and the S&P500 rose to an all-time record on January 31 according to data from BofA Global Research, undercutting the logic of those hoping to use the cryptocurrency as protection against market volatility.</p><p>Investors will be getting minutes from the most recent Federal Reserve session on monetary policy that will be due to be released on Wednesday. Walmart (WMT.N) along with chip maker Nvidia Corp (NVDA.O) will be among the companies to announce resultsas earnings season kicks off.</p><p>Some investors are ready to take advantage of the volatility of bitcoin, assuming that the longer-term value of blockchain technology, its built-in supply limit and the impact it creates, will last even in the face of frequent price fluctuations.</p><p>Jurrien Timmer, director of macro-economics at Fidelity said that the current cryptocurrency market to the volatile tech stocks that were experiencing during the dotcom era nearly two decades ago. This was a boom-and-bust period that saw relatively few companies left standing.</p><p>"Amazon remains around, as is Apple is still around and they're stronger than ever and they're hoping that for bitcoin, it'll be just exact," explained the man. "But bitcoin isn't immune from those waves of speculation and sentiment."<iframe src="https://www.youtube.com/embed/OfVumcKtpG8" width="560" height="315" frameborder="0" allowfullscreen></iframe></p><p>Bitcoin could hit the $100,000 mark by 2023, Timmer believes, using his supply and demand models.</p><p>Others believe that mature cryptocurrencies such as Bitcoin and Ether are unlikely to provide the spectacular gains they have made since their founding.</p><p>Instead, they're turning at the universe of brand new alternative coins being created to benefit of the money flooding into the crypto sector which includes the metaverse as well as NFTs, which saw $3 billion in venture capital investment last year, according PitchBook?.</p><p>Other altcoins include cosmos Terra Luna, and Polkadot that are down 20.5 percent, 38% and 25.5 percent from the beginning of the year, respectively, on the basis of coinmarketcap.com.</p><p>Understanding the risks linked to the financial sector and decentralized banking is going to be one of the most difficult issues for investors by 2022, says Lily Francus, director of quantitative research strategy at Moody's Analytics.</p><p>Cryptocurrencies "are going to remain very volatile , but there are significant players on both the institutional side and the retail side that are still growing, so interest is growing," said Oanda's Moya.</p>