"A Roller-Coaster Week for Bitcoin: In-Depth Analysis of Volatility and Forecasts for Investors"

Title : Bitcoins Volatility: A Meticulous Analysis and What it Means for Investors

Its been a wild week for Bitcoin. Bitcoins price slipped over 7.1% in 24 hours, briefly dipping beneath the crucial $65,000 mark for the first time since March 24. The drop has stirred compelling discussions in the crypto sphere fueling speculations about the possible future directions of the leading cryptocurrency.

Historically, the 14th week of the year has proven to be one of the bleakest for Bitcoin, with the price plummeting on average by 8.33%, as per Coinglass data. This trend seems to be in keeping with the current dip, with Bitcoin addressing a critical support level of $65,000.

The drop was initiated by long-term BTC holders exiting their positions, leading Bitcoin to trace a daily low of $64,610. Despite the fall, trading volume for BTC skyrocketed by more than 75% to $46 billion, highlighting the increased trading activity prompted by the price drop.

Renowned crypto analyst, Rekt Capital, suggested that Bitcoins price trajectory could decelerate as the Bitcoin halving event approaches. He argued that the BTC price needs to assert itself above the $65,600 weekly range to curtail further losses. Beyond this, a sudden drop could trigger the liquidation of over $249 million worth of long leveraged positions across all exchanges.

Worth noting is that the dip has rebooted several key metrics that were hinting at an overheated price, a prominent one being the Relative Strength Index (RSI). The RSI tumbled to 48 on Bitcoins daily timeframe, signifying the BTC is no longer in an overbought state.

Andrey Stoychev, head of Prime Brokerage at Nexo, attributes the price correction to newcomers who purchased Bitcoin in the wake of the United States spot Bitcoin ETFs approval. These fresh adopters seeing a surge of over 50% in just 60 days are poised for profit-taking, he said.

Stoychev remains positive about Bitcoins potential and mentions that the cryptocurrency has historically offered significant returns even after periods of market correction. But investors should remain cautious, especially around the $64,000 mark, considering over $17.21 million worth of BTC futures liquidation leverage on Binance, and another $9.92 million at the $63,500 mark.

The past 24 hours witnessed the liquidation of over $152.5 million worth of leveraged Bitcoin positions, with $109.11 million being long positions. The sudden drawdown also resulted in over $165 million of leveraged crypto liquidations.

Interestingly, the dormant Bitcoin supply has also re-awoken. Long Term Holders (LTH) have declined over the last few months, providing prospects for other investors.

All these developments indicate that the crypto market retains its typical volatility. Investors should keep a close watch on market movements, conduct their research thoroughly, and be ready for possible price volatility. This analysis does not constitute investment advice and any trading move involves associated risks.