✅ What we see is facts
There is a general decline in the cryptocurrency market, attributed to several factors such as liquidity in futures contracts and the mass liquidation of long positions.
The fear and greed index in cryptocurrencies indicates a state of 'fear' or greater pessimism than usual, which may exert additional pressure on prices.
Even on the Binance platform, compensations were recorded due to users being subjected to large position liquidations or technical failures following a significant drop.
Reasons associated with the decline: Weak technical support structure, general market impact (stocks and macroeconomics) which shifts pressure to cryptocurrencies.
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⚠️ Why the decline may be sharp
When mass liquidations occur for long positions, it leads to a magnified rush to sell and accelerates the decline.
The market is in a structurally weak position: technical support is turning into resistance, and investors may temporarily lose confidence.
External events (regulatory or economic) quickly and negatively affect cryptocurrencies.
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📉 What can we expect in the near term
The price may continue to decline or fluctuate until new buying momentum appears or recovery signs become clear.
We may see some cryptocurrencies experiencing a temporary rebound ('technical correction'), but it is uncertain if it will be a strong rebound unless fundamental factors change.
It is wise to monitor important support levels; for example, if a major support level is broken, it may indicate further decline.
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🔍 Quick recommendations based on what we see
If you are holding cryptocurrencies: a 'stop loss' or psychological limit should be set — manage your position sizes wisely.
If you are considering entering: it may be wiser to wait until signs of recovery appear or the price reaches an attractive entry area.
Do not rely solely on technical analysis — follow regulatory news, liquidity in futures, and the movement of 'whales' if possible.