Because Of What The Price Of Bitcoin For A Long Time Ranges From 45 to 50 Thousand Dollars
Bitcoin prices currently retain the indicators of 2021. It was expected that 2022 would start with a bullish trend, the crypto community is still waiting for a breakthrough. On weekly trading, BTC continues to show lower and lower highs and lows. Forecasts for 2021 and 2022 are almost similar, the trends of the new year are already being traced. But what is the reason for this situation with bitcoin?
Bitcoin is heavily dependent on private traders who periodically sell and buy assets. The level of volatility is associated with the sale and purchase of assets, but they affect the price of BTC more than the support of the currency. At the moment, there is mainly accumulation, against the background of a fall in value, while retail traders remain in the shadows.
Since the beginning of the bull run of 2021, the largest event among altcoins, the dominance of Bitcoin against the background of other currencies has noticeably decreased. Currently, this indicator for BTC has decreased by 40%, therefore other currencies in this segment have increased. This means that the capital invested earlier in Bitcoin has been redirected to other currencies
Stable USDT and USDC coins have become more attractive to buy, especially for beginners. It is these currencies that are now considered the most reliable in the investment market. Therefore, at the moment Bitcoin appears more as an accumulation.
Futures markets are developing, and traders have become more active in using borrowed funds, regardless of whether they choose long positions or short ones. Futures markets always have a strong influence on the BTC price, not the spot price. So today there is growing interest not only in long positions, but also in short ones.
The general state of the market also strongly affects the value of assets. Prices tend to rise due to FOMO. But prolonged consolidation can create uncertainty among traders who may misjudge the market picture and eventually start selling everything in a panic.
According to experts, the bearish trend will remain in the market for the time being, the price of Bitcoin does not have positive indicators. In addition, they believe that BTC prices will decrease even more and reach indicators below 40 thousand dollars. Nevertheless, Bitcoin is expected to break through and regain market dominance, only the time frame for this event remains unknown.