Crypto Headwinds May Pile Up- Markets to Face Another Sell-off Soon!
Crypto markets faced another bearish wave following the drop of crypto-friendly bank Silvergate
The markets are believed to maintain a steep bearish trend for long as the year 2023 and may also record multiple bearish events
The crypto space is falling down! Yes, you heard it right! The Bitcoin price was once again subjected to massive liquidations, resulting in a more than 5% drop in its price along with the other altcoins in the market. With this, the entire market cap collapsed to close to $1.03 trillion. While market participants believe the prevailing bearish trend may ease soon, triggering a rebound, it appears that the bears are here to stay!
The BTC price is consolidating along the lower gained levels from the past few hours and hence squashing the possibility of an immediate recovery. Therefore, the prices of the major cryptos are believed to remain under bearish influence for some more time ahead, as multiple events are about to mark their strong presence within the crypto space.
A popular analyst lists the probable events that may occur in the coming months. Apart from Silvergate, MT. Gox unblock is underway, while the Shanghai upgrade is expected to shake the market as the locked ETH may be withdrawn. As per the analyst, the CPI may soar high by 50bps while the stock markets may witness weakness. The analyst also specified that a combination of the above-mentioned events may trigger mass liquidations again.
The market participants were in extreme fear until the market rose at the beginning of 2023. However, after experiencing a small sigh of relief, the bearish cartel is believed to dominate, which may create another price depression within the markets.
Therefore, will Bitcoin form the bottom before the end of Q1 as predicted by some analysts before, or head back towards $25,000? We need to wait and watch.