The Crypto Market Awaits Strong Volatility as the White House Electronic Money Conference Approaches

With the upcoming cryptocurrency event at the White House, the crypto market is preparing for a series of significant fluctuations. Global investors are awaiting announcements and policy decisions from the US government, promising to increase market volatility further. Crypto Reserve Strategy Announcement and Market Response Last weekend, former President Trump caused a stir by announcing his intention to establish the US Crypto Strategy Reserve on the Truth Social platform. Initially, Trump's forecast was to focus on building a reserve fund consisting only of Bitcoin, but he later proposed to expand the portfolio by including Ethereum, Ripple (XRP), Solana, and Cardano. This announcement has created a strong wave of reaction within the crypto community and has been a driving force behind the increase in market volatility index (CVI). Bitcoin Price Volatility and Market Volatility Index Bitcoin, the leading cryptocurrency, has witnessed significant price fluctuations in the past few days. Last Sunday, Bitcoin reached a high of about $95,283. However, selling pressure on Tuesday pushed the price down to $81,740, a decrease of about 14.2%. Not stopping there, in just a few early morning trading hours, Bitcoin rebounded to $91,362, up nearly 10% from the 7-day low. Additionally, data from the Crypto Volatility Index (CVI) shows that the index has increased by 12.5% since the beginning of March, currently standing at 62.71. Although this figure is 9% lower than the previous week's peak of 69.34, experts forecast that the index could rise further when Trump and crypto executives meet over the weekend. Pressure from the Options Market and Forecasting Volatility According to the analysis of Jeff Anderson - Regional Director of Asia at STS Digital - the volatility indicators on the Deribit options exchange show that investors are predicting significant price movements over the weekend. Specifically: The price difference fluctuation (IV) between the options contracts expiring on Friday and Saturday: Approximately 25 points of fluctuation, with the annual fluctuation rate of the Friday contract at 56% and the Saturday contract up to 80%.STS Digital forecast: Bitcoin may fluctuate around $5,000 either up or down between Friday and Saturday morning, while Ethereum and Solana may change by approximately $135 and $13 respectively. These figures show that investors are 'locking in' expectations for a weekend full of volatility after the conference event. Technical Analysis of Major Cryptocurrencies Bitcoin (BTC): Currently trading around $92,340. Prior to the conference, the first resistance level is identified at around $93,581, while the support level is between $90,283 and $90,867. If the price drops further, a significant liquidity area is predicted between $87,636 and $88,375. Ethereum (ETH): With the current trading price of $2,283, Ethereum has recorded a slight 2.6% increase in the last 24 hours. The important support level for ETH is above the psychological level of $2,200, but to confirm the upward trend, ETH needs to surpass the resistance level at around $2,325. The RSI index is currently at 37.32, indicating an oversold condition but still needing buying momentum to reverse. Ripple (XRP): XRP is trading at around $2.33 and is facing a technical pattern called 'head and shoulders,' a pattern signaling a price decrease. If the $2 support level is broken, it is forecasted to push the price down to $1, equivalent to a 58% decrease from the current level. Solana (SOL): Trading around $148, Solana is in a consolidation phase with support zone identified from $142 to $146 and resistance around $151. Technical indicators such as RSI (43.35) and convergence of MACD indicate a possible reversal of trend with additional buying pressure. Notes and Warnings for Investors Despite the indicators and forecasts showing a period of strong volatility, experts also note that "major fluctuations expected often do not reach the level that the market anticipates." Jeff Anderson emphasizes that major volatile events may lead to more modest outcomes, as expectations often exceed reality. Therefore, investors need to be cautious and consider using tools such as options to minimize risks during fluctuating periods. Conclusion The cryptocurrency conference at the White House is creating a dramatic backdrop for the crypto market. From Trump's announcement of the cryptocurrency reserve strategy to significant price and volatility index fluctuations, the market is preparing for a turbulent weekend. Investors need to closely monitor technical signals and government announcements to make the right decisions in a context of risk and opportunity.