Here’s why bitcoin is so volatile: trader

Here’s why bitcoin is so volatile: trader

As bitcoin (BTC-USD) holds above $40,000, investors are laser-focused on the price gyrations, attempting to divine the next big move. One former trader at the New York Stock Exchange is demonstrating how technical analysis is ideally suited to analyzing and predicting cryptocurrency price movements.

At a recent Yahoo Finance Plus webinar, Capital2Markets president Keith Bliss, explained to attendees that bitcoin and other cryptocurrencies don't lend themselves to traditional fundamental analysis because they don't have balance sheets and financials that can be modeled. However, they exhibit the same chart patterns as their stock cousins — meaning investors can use technical analysis to help predict price movements.