Well yet again prices jump and also plunge in the same day, leaving the prices almost around the same region. This is what is going on within the crypto space for a couple of days. Not only the Bitcoin price but most of the assets are experiencing a similar pattern. Either the prices jump in the early trading hours and drop lately or vice versa. And hence keeping the crypto space misty above the next move.
It was when the US inflation touched skies that uplifted the crypto space and BTC price experienced an interim relief from the bears. But as Evergrande’s news circulated in the market, the gains were quickly shredded off. However, as the asset reached its bottom below $44K, quickly the bulls entered and accumulated the asset at a discounted price.
Further, yet again the space gets trembled with another FUD of an exchange being hacked which turned the entire market sentiments into bearish. It was again fuelled by the rounds of regulation news in some countries. Yet technicals suggest, that was the best time to enter, and hence whales again accumulated more.
It appears that the bulls and the bears are working together at regular intervals encashing huge profits every now and then. On the other hand, newly formed whales like MicroStatergy keep on buying at the dip, while El-Salvador also joins them. Yet ever since the crypto space has gained huge attention ever since the beginning of the pandemic in 2020, a new era of trading has begun. Where-in both the bullish or bearish market can be switched on or off within no time.
What Can You Expect in Q1 2022?
The current trend has implanted more confusion in the crypto space as the price trend is appearing to be pre-programmed Some signs show the trend may change in the upcoming days which may lead to a notable uptrend. However, the Bitcoin price ranging high above $53,500, to fill the CME gap and propel further appears to be pretty misty.
On the other hand, the exchange reserves go on depleting and the BTC SOPR indicates the paper hands exiting the trade yet strong hands are still in the race. Additionally, the Bitcoin hash rate hits a new ATH while China has lost control over it. According to some reports, 80% of Bitcoin holders have not sold yet while the US inflation is expected to stay long.
No doubt the Bitcoin price may witness a decent surge to end the yearly trade, yet could continue to trend in a similar way for some more time. The bulls who remain passive currently may be waiting for the BTC price to reach certain levels to jump in. However, the upcoming trend appears to be pretty bullish.