Today, December 13, 2024, the crypto market continues to show a decline. Below are the main reasons that have influenced this dynamics:
1. Macroeconomic pressure
Global financial markets have faced new inflation data that turned out to be higher than expected. This has intensified expectations for further rate hikes by central banks, which traditionally negatively affects risk assets, including cryptocurrencies.
2. Negative news about regulation
Some countries have intensified pressure on cryptocurrency exchanges and DeFi platforms. For example, recent statements from the U.S. regarding tighter rules for platforms providing derivatives have led to a sharp decline in trading volumes.
3. Technical factors
Many major cryptocurrencies, including Bitcoin and Ethereum, have broken key support levels. This has triggered further liquidations of long positions, exacerbating the decline.
4. Lack of new incentives
Despite recent interest in metaverses and artificial intelligence tokens, the market has not seen a significant influx of capital. Investors remain in wait-and-see mode, avoiding increasing their investments.
-——————————————————————————-
Advice for investors:
- Analyze long-term prospects: The cryptocurrency market is known for its volatility. Historically, such periods of decline have created opportunities to enter the market at more favorable prices.
- Consider diversifying your portfolio: Keep part of your capital in stable assets such as stablecoins or other financial instruments. ($ETH , $BTC )
- Stay updated on the news: Regulatory changes and macroeconomic events remain key market drivers.
-——————————————————————————-
Periods of decline are inevitable, but prudent risk management will help preserve capital and prepare for the next market upturn.
