Volatility is back in a big way in Bitcoin
Bitcoin is the epitome of fear and greed as it crashed down to $7614 less than two hours ago and is now trading at $8802 in an impressive, 16% bounce.
It's also a sign of elevated volatility after a few weeks of relative calm near the end of January.
Even as I'm writing, Bitcoin is whipping around in $100 increments.
On the day, Bitcoin is down just $338 now after falling more than $1400.
It's all about market psychology at this point. The bulls are buying the dips and piling in as the momentum pushes Bitcoin higher but when the highs are lower than previously, they are more likely to get shaken out.
Given that paradigm and all the regulatory uncertainty, it's tough to see this as any more than a bounce that will be faded.