Concerns and fears about the future of the global economy have put pressure on bitcoin and altcoin prices, and the cryptocurrency index is currently firmly entrenched in areas of ‘fear’. ‘Which he has remained since its inception. The time was December.
After the recent Federal Open Market Committee (FOMC) meeting, where Fed President Jerome Powell announced that interest rates had been cut, the movement continued despite falling market prices. The common heart in the crypto market, which indicates the face of 2021. It may be canceled. Note:
BTC may reduce costs due to macro concerns
In a recent report by Delphi Digital, analysts point out that the price of Bitcoin (BTC) fluctuates in sentiment during a market downturn and may take some time to recover. Trend. For
BTC Price vs. Crypto Fear and Greed Index. Source: Delphi Digital
Delphi Digital says BTC is “often essential” for technical repairs today, especially when prices fall below the 200-day moving average and the normal 200-day moving average. Testing process. There is
A similar build-up follows a major market return in May 2021 and just two months before the local BTC found its way.
The combination of market slump in May and recent weak and volatile market conditions has led to an increase in exchange rates. As of December 14, sales volume increased to $ 57 billion from a daily average of $ 10 to $ 20 billion.
daily exchange rate of stablecoin. Source: Dune Analytics
A similar volatility rally led by Delphi Digital returns in May, warning that BTC and Ether (ETH) could see their prices fluctuate for the rest of the year.
Delphi Digital says.
“Given this, the probable situation is that there will be a negative / bearish price trend at the end of the year, even if more risky situations or volatility develops which can be predicted. Risky assets. Fine. Can kill BTC and larger. Crypto market. ”
Related: Historically powerful ‘momentum indicator’ for Bitcoin
The market is gearing up for a rally in the first quarter of 2022
A similar expectation was expressed by crypto analyst Jarvis Labs, who quoted a large amount of data from the original “boot” signal.
Jarvis Labs cites evidence that retailers are buying recent discounts and other signs pointing to current collections, but analysts further note that short-term holders are worth 53,000. And sellers are given a warning “even if it stays that way.
In short, Jarvis Labs says $ 42,000 is now in BTC, but warns that it will have to pay $ 53,000 soon.
The overall market capitalization of cryptocurrencies is $ 2,233 trillion and the liquidity rate of Bitcoin is 40.6%.