The recent news cycle in the cryptocurrency space has been tilted bullish, and the price of Bitcoin has fallen dramatically in recent months. One of the primary causes of this bear market's fall was the collapse of TerraUSD. Fortunately, that collapse is over. Today, we'll take a look at some of the reasons that caused the price to fall sharply in recent months, and which will make it easier to gauge the market's direction going forward.
If you've been following the price of Bitcoin over the past few months, you may have noticed that the news cycle has been mostly bullish. In fact, the markets have been overwhelmingly bullish in recent weeks, and the volumes have jumped into double-digits. Bitcoin's hourly chart is currently moving within a triangle pattern, and next support is expected at $24,000. This is not to say that the price of Bitcoin is going to rise immediately, but this recent trend may suggest that a new upleg is in store for it.
This recent bullish trend is likely to continue, as many analysts expect the Federal Reserve to cut its asset purchases by $30 billion starting in January and phase out the entire $120 billion program by March. On the other hand, a negative announcement from the Federal Reserve may trigger a relief rally. After all, the Fed has been signaling two rate hikes by 2022, and reducing the number of assets purchased by the central bank is expected to curb inflation.
One of the reasons why bitcoin's recent news cycle has been so bullish is because global financial institutions are increasingly adopting it, which makes it a bona fide macroeconomic asset. That said, bitcoin has regularly sold off in tandem with broader financial markets. While there is a lack of consensus among investors, a positive macroeconomic picture is a positive sign for the cryptocurrency market.
Bloomberg's lead commodities strategist believes that the second half of 2018 is Bitcoin's time to shine. The Galaxy Crypto Index, which tracks the performance of the biggest cryptocurrencies, mirrors the behavior of cryptocurrencies at the bottom of the bear market in late 2018. This is in line with the way that the early-2000s internet bubble worked, with the overvalued projects being purged from the market.
The recent decline in Bitcoin has sparked concern among investors. The cryptocurrency has been in a bull market for months and reached highs above $40,000 on multiple occasions. While this trend may have contributed to the recent drop in prices, it is not clear what is driving the sudden downturn in bitcoin. The decline in exchange balances has been attributed to massive accumulation trends on exchanges. A leading analytics platform has said that the total amount of ETH held by investors has dropped below $20 million.
⭐ Find us online: https://my.bio/cryptonews
If you've been following the price of Bitcoin over the past few months, you may have noticed that the news cycle has been mostly bullish. In fact, the markets have been overwhelmingly bullish in recent weeks, and the volumes have jumped into double-digits. Bitcoin's hourly chart is currently moving within a triangle pattern, and next support is expected at $24,000. This is not to say that the price of Bitcoin is going to rise immediately, but this recent trend may suggest that a new upleg is in store for it.
This recent bullish trend is likely to continue, as many analysts expect the Federal Reserve to cut its asset purchases by $30 billion starting in January and phase out the entire $120 billion program by March. On the other hand, a negative announcement from the Federal Reserve may trigger a relief rally. After all, the Fed has been signaling two rate hikes by 2022, and reducing the number of assets purchased by the central bank is expected to curb inflation.
One of the reasons why bitcoin's recent news cycle has been so bullish is because global financial institutions are increasingly adopting it, which makes it a bona fide macroeconomic asset. That said, bitcoin has regularly sold off in tandem with broader financial markets. While there is a lack of consensus among investors, a positive macroeconomic picture is a positive sign for the cryptocurrency market.
Bloomberg's lead commodities strategist believes that the second half of 2018 is Bitcoin's time to shine. The Galaxy Crypto Index, which tracks the performance of the biggest cryptocurrencies, mirrors the behavior of cryptocurrencies at the bottom of the bear market in late 2018. This is in line with the way that the early-2000s internet bubble worked, with the overvalued projects being purged from the market.
The recent decline in Bitcoin has sparked concern among investors. The cryptocurrency has been in a bull market for months and reached highs above $40,000 on multiple occasions. While this trend may have contributed to the recent drop in prices, it is not clear what is driving the sudden downturn in bitcoin. The decline in exchange balances has been attributed to massive accumulation trends on exchanges. A leading analytics platform has said that the total amount of ETH held by investors has dropped below $20 million.
⭐ Find us online: https://my.bio/cryptonews
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