Up 5%: Bitcoin Sees Biggest Single-Day Price Gain for 2 Months

Sep 25, 2020 at 12:54 UTC.Bitcoin is taking a breather after Thursday's sharp rally that took prices back above a widely tracked technical line.

On Thursday, bitcoin jumped almost 5% to levels above $10,750, confirming its biggest single-day gain since July 27, according to data source Coin Metrics.

With the move, the cryptocurrency found acceptance above the 100-day moving average at $10,448, which was breached to the downside earlier this week.

So far the sharp recovery from weekly lows near $10,200 has failed to draw stronger buying pressure.

At press time, bitcoin is trading near $10,680, representing a 1% decline from the high of $10,789 observed during Thursday's U.S. trading hours.

The market has been a little lacking direction in recent weeks, with prices largely stuck in the $10,000 to $11,000 range since Sept. 4.John Ng Pangilinan, managing partner at Singapore-based Signum Capital, sees a bullish revival occurring above $11,000.

"A stronger rally would materialize if prices rise above $11,000," Pangilinan told CoinDesk.

"I would buy on a breakout above the psychological hurdle."

A big move may happen soon, as bitcoin's one-month implied volatility has declined to 44% - the lowest level in nearly two years, according to data source Skew.In the past, an implied volatility of 50% or less has paved the way for violent price action.

Currently, implied volatility closing on the all-time low of 35% seen ahead of the mid-November 2018 crash.