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Insights on Market Sentiment and Economic Factors

On April 26th, **COINOTAG News** reported a notable increase in Bitcoin’s **volatility**, which rebounded to **2.9%** after a dip to **2.66%** on April 20th, according to data from **Coinglass**. High levels of Bitcoin volatility are often indicative of **speculative trading**, reflecting heightened retail investor interest and **FOMO (Fear of Missing Out)**. Conversely, a decline in volatility typically suggests a waning of **short-term speculative** activities, often leading to a phase of market consolidation or a necessary **”cooling-off period.”** Moreover, Bitcoin’s price fluctuations are frequently tied to broader **macroeconomic factors**, including shifts in **inflation expectations**, **interest rate adjustments**, and various **geopolitical uncertainties**. As these external variables achieve greater stability, one can anticipate a corresponding decrease in Bitcoin’s overall volatility, impacting investor strategies and market dynamics.

Source: https://en.coinotag.com/breakingnews/bitcoins-volatility-rebounds-to-2-9-insights-on-market-sentiment-and-economic-factors/

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