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NewsBTC 2026-02-18 02:30:06

Bitcoin Enters A New Volatility Regime Not Seen Since Last Year, History Repeating?

After an extended period of relative stability, Bitcoin has entered a renewed phase of volatility, with price swings accelerating to levels not seen in nearly a year. The sudden shift signals a potential turning point in market dynamics, as tightening liquidity conditions, changing investor sentiment, and increased trading activity drive sharper movements across the crypto market. How Rising Volatility Signals A Change In Market Regime Bitcoin volatility has returned to levels not seen in almost a year. A full-time crypto trader and investor, Daan Crypto Trades, has highlighted on X that ever since the tariff-related market dump, BTC price action has remained unusually slow, and it is rare to see a daily candle move of 5% or more. Over the past few weeks, the broader market breakdown has seen a notable change. Related Reading: Bitcoin Price Holds The Line, But Can Bulls Force A Break Higher? The rise in volatility mirrors broader instability across all other markets, which is definitely not a calm period for markets around the world. Meanwhile, elevated volatility often creates attractive opportunities for short-term traders. Daan emphasized that his primary focus remains on the next larger market swing and accumulating BTC at the lowest possible levels, with a long-term horizon in mind. According to investor Jelle, buying Bitcoin at the bottom of the last cycle is not because he anticipated the exact price, but because the market showed remarkable resilience following the collapse of FTX. When FTX collapsed, BTC sold off roughly 20%, but in a market deep into a bear phase, the price action began moving sideways, sweeping previous lows and eventually forming higher lows. After months of downside, the market had already absorbed so much negative information that even a major systemic shock failed to drive prices significantly lower. Jelle noted that these structural shifts bear losing strength and bulls gradually regaining control are the key signals he is watching for again. While there are price levels where he’s willing to take action, the decision ultimately depends on the broader market context. The focus is on bears losing momentum and bulls starting to show early signs of strength, because the market will eventually show its resilience. From Accumulation To Price Discovery Bitcoin has entered a critical accumulation phase that could define the next nine months of the cycle. Analyst Aralez stated that the price has entered a zone where the market will form a bottom, but growth should not be expected within 3 to 5 months of accumulation before the breakout. Related Reading: Bitcoin Sharpe Ratio Sinks To Historical Lows — Accumulation Next? However, the outlook suggests that this accumulation phase will eventually resolve to a decisive move higher, leading to a new all-time high near $130,000. After a confirmed break above $126,000, it could open the door to $250,000. Under this scenario, Ethereum and other high-cap altcoins are expected to follow BTC’s momentum. Also, altseason and Memecoin season will revive, showing 100 times growth in days. Featured image from Getty Images, chart from Tradingview.com

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