Bitcoin has taken a big fall this time. From a high of $99,500, it fell to $95,864 in a flash. It lost 2.62% in a few hours, and all the gains of this week were vomited out. Now everyone is wondering, is this just a small correction, or has the momentum of a big drop just begun?
Let's take a look at the key reasons for this decline:
First, Bitcoin did not cross the hurdle of $99,500. Once it tried this price, it failed to stabilize, which directly triggered a series of sell-offs. This shows that those big players and institutions, seeing that it was almost $100,000, began to worry in their hearts and quickly put the profits in their pockets.
Second, this market is too exciting and the leverage is too high. As a result, many long positions were liquidated in this fall, and they had to cut their losses and leave the market, and the price was suppressed. The financing interest rate is frighteningly high, and the market is as hot as a steamer. The slightest disturbance will cause chaos.
Third, this decline is not just about Bitcoin, other altcoins are also suffering, and the entire market is adjusting. Some traders take advantage of the situation and lock in profits, while those investors who are not at ease, as soon as they see the trend is not right, are scared and sell quickly, and the decline is even faster.
Fourth, those big guys who hold a large amount of Bitcoin have recently transferred a lot of money to the exchange, which is not a good thing. It is clear that they are ready to run away. The pressure of selling and the sudden decline are so accurate in timing.
Fifth, the macroeconomic situation, the possible actions of the Federal Reserve, and the stock market are also not quiet, all of which add to the trouble of Bitcoin prices. Investors are now very cautious, and the slightest disturbance will cause a wave of fluctuations.
In the next bull market, I will take everyone to aim at the opportunity of altcoins to get rich. There is no problem with the expected space of more than 10 times. Like + leave a message, and I will take you to plan the entire bull market together!
