August To Be A Decisive Moment For Bitcoin Price Ahead Of FOMC & GDP Report
Since May, 2022, after Terra (LUNA) collapse, the crypto market is not in that good condition with an increase in negative news around the space. Even now, the overall crypto market sentiment is not positive with the increased price volatility along with declining interest in terms of Crypto derivatives.
As per the report, in the month of June, there has been a massive decline in the derivatives trading volume in well known exchanges like Binance and OKX. Now, it’s fascinating to know how Bitcoin will see its price movement for the month of August 2022.
August To Be In Favor Of Bitcoin Price?
When the history of records are considered, the month of August has been quite a favorable month for the crypto world. The last two years, i.e August 2020 and August 2021, the flagship currency has seen a rise of 2.74% and 13.42% accordingly. However, when the wider market is considered, the month of August has always experienced a fusion of both bulls and bears.
At the time of writing, Bitcoin is selling at $21,945 with a pull of 3.64% over the last 24hrs. As the news regarding the upcoming FOMC meeting scheduled on July 26 and July 27 is hovering around the crypto space, cryptocurrencies, especially Bitcoin, are showing a negative reaction.
It was just last week that the King currency had reclaimed $24,000 level after struggling with the bearish pull for more than two months. As we compare the present Bitcoin price and the last week’s, the BTC is down by more than 1.20%.
For the next coming month, August 2022, Bitcoin is expected to surge at an average of $33,695. However, things might not go as expected with the currency developments.
Crypto Derivatives Trading Volume See A Drop
On the contrary, though the wider market participants are distressed by market reaction ahead of the FOMC report and the increasing interest rates, traders and experts predict there is more to see in the crypto space for the upcoming weeks.
One of the traders and crypto enthusiasts, Crypto Zombie, is of the opinion that the upcoming weeks for Bitcoin are critical with the upcoming FOMC meeting and US GDP report.
The month of June has seen several crypto lending firms going insolvent, due to which the overall crypto market was pessimistic. As per CryptoCompare, this resulted in decline in the derivative trading volume.
In the month of June alone, the crypto derivatives trading volume plunged by 7.01% positioned at $2.75 trillion. This marking was one of the lowest recorded derivatives trading volumes since July 2021.