Are there specific hours of the day when cryptocurrency prices tend to be more volatile?
BÜŞRA KARANDec 26, 2021 · 3 years ago3 answers
Can you provide insights into whether there are specific hours of the day when cryptocurrency prices tend to be more volatile? I'm curious to know if there are certain times when the market experiences more price fluctuations and if it's possible to take advantage of these patterns to make profitable trades.
3 answers
- Dec 26, 2021 · 3 years agoYes, there are specific hours of the day when cryptocurrency prices tend to be more volatile. Generally, during the Asian trading session, which starts around 12:00 AM UTC, we often see increased price volatility. This can be attributed to the high trading volume from countries like China, Japan, and South Korea. Additionally, major news announcements and economic events can also contribute to increased volatility, regardless of the time of day. Therefore, it's important to stay updated with the latest news and market developments to identify potential trading opportunities.
- Dec 26, 2021 · 3 years agoDefinitely! Cryptocurrency prices can be more volatile during certain hours of the day. For example, during the early morning hours (around 2:00 AM to 6:00 AM UTC), when the European and Asian markets overlap, there tends to be higher trading activity, leading to increased price fluctuations. Moreover, it's worth noting that weekends and holidays can also impact volatility, as trading volumes may decrease, resulting in potentially larger price swings. So, if you're looking to capitalize on price volatility, keeping an eye on these time periods might be beneficial.
- Dec 26, 2021 · 3 years agoAbsolutely! As a representative from BYDFi, a digital currency exchange, I can confirm that there are specific hours of the day when cryptocurrency prices tend to be more volatile. Based on our analysis, the hours between 8:00 AM and 12:00 PM UTC often exhibit higher price volatility. This can be attributed to the overlap of trading activities between the European and American markets. However, it's important to note that cryptocurrency markets are highly unpredictable, and volatility can occur at any time due to various factors such as market sentiment, regulatory news, and technological advancements.
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