BTC Volatility Analysis for Balance of Trade, 5th January 2023

Data Analysis

The data released by Bureau of Census, Bureau of Economic Analysis for International Trade Balance in Goods and Services on 5th January, 2023 has come in at an increase to -$62.8B for November 2022. Compared to the previous release for October 2022 at -$74.8B, we can see that foreign trade has decreased but at a slower rate month over month.

To see the impact and volatility of BTC's price during the Balance of Trade release, we will first observe the difference in volume and price changes on the 4-hours chart, followed by the 15-minutes chart. Change in prices will be be determined by the high and low prices instead of the opening and closing prices.

4-Hours Chart Analysis

In the period prior to the release, the trading volume was 26,523 BTC with prices swinging between 16,780.75 and 16,839.00, representing a swing of 0.35%. Subsequently, the trading volume increased considerably by 66% to 43,984 BTC. Price action ranged from a low of 16,753.00 to a high of 16,879.82, a significant difference of 0.75%

15-Minutes Chart Analysis

Analysing on a lower time frame to get a more accurate picture, 3,079 BTC in trading volume was observed prior to the data release. Prices ranged between a low of 16,801.04 to a high of 16,832.54, a 0.19% change. Immediately following, trading volume increased by 14% to 3,515 BTC. At this time, Bitcoin hit a low of 16,777.86 with a high of 16,821.00, a change of 0.26%.

About International Trade Balance in Goods and Services

The balance of trade (BOT) measures economic transactions between a nation and its trading partners, showing the difference between the value of a country's imports and exports for a given period. The BEA and Census Bureau reports on the U.S. balance of payments (BOP), covering goods and services that move in and out of the country. Economists use this information to gauge the relative strength of a country's economy. When exports are higher than imports, it tends to boost GDP. In the opposite scenario, it creates a trade deficit.