Crypto Market Analysis: Roller-Coaster Week Ends With Bitcoin Volatility Falling

Bitcoin and ether volatility continued to fall as their average true range (ATR) of price movement fell 14% and 18%, respectively, over the last seven days.

ATR soared by 78% and 56%, respectively, in the days immediately following reports that crypto exchange giant was struggling with severe liquidity problems.

Crypto price stabilization has been a peculiar twist in the ongoing FTX tragedy – unexpected but also reassuring to investors jittery about digital assets’ long-term prospects.

Federal Reserve officials appear to be on the same page, in providing something for everyone

Depending on what you wish to hear, you can find a Fed official to deliver comforting remarks.

Those investors hoping for dovish commentary could cite Federal Reserve Vice Chair Lael Brainard, who said on Monday that it would “probably be appropriate soon to move to a slower pace of rate increases”.

Three days later, St. Louis Federal Reserve President James Bullard offered support for hawks, saying that “inflation remains unacceptably high, well in excess of the Federal Open Market Committee target of 2%”

Seekers of a middle ground could turn to Fed Governor Christopher Waller, who this week implied that while inflation is too high, he’s open to a 50 basis point hike in December.

At an uncertain time, where macroeconomic signals continue to often contradict one another, the comments underscore the range of options and uncertainty even among the officials who determine monetary policy. Which of the three options would be best may not be apparent until well after the Fed has chosen one of them.

A few notable developments occurred with pricing relationships

Whale Investors added coins to exchanges, and asset managers reduced longs.