Volatility of Bitcoin and Ethereum Amid Low Liquidity and Decreasing Reserves
Bitcoin and Ethereum have experienced significant volatility due to low liquidity at the end of the year, with open interest (OI) for both cryptocurrencies decreasing by 40–50% since October. Reserves on exchanges for Bitcoin and Ethereum have also reached multi-year lows, indicating a decrease in market depth. Investors are now focusing on the upcoming meeting of the Federal Open Market Committee (FOMC) on Wednesday, where guidance on the balance sheet is expected to play a key role. Bitcoin remains in a trading range between $84,000 and $100,000, reflecting the current market uncertainty.
$BTC
$ETH
Bitcoin and Ethereum have experienced significant volatility due to low liquidity at the end of the year, with open interest (OI) for both cryptocurrencies decreasing by 40–50% since October. Reserves on exchanges for Bitcoin and Ethereum have also reached multi-year lows, indicating a decrease in market depth. Investors are now focusing on the upcoming meeting of the Federal Open Market Committee (FOMC) on Wednesday, where guidance on the balance sheet is expected to play a key role. Bitcoin remains in a trading range between $84,000 and $100,000, reflecting the current market uncertainty.
$BTC
$ETH