Bitcoin is after two explosive months on the withdrawal. After a decline of 61 billion dollars of the crypto could experience a year-long bear market, warns a Bitfinex whale.
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Why is the crypto-sentiment back to bearish?
After Bitcoin has failed to test a major resistance at $10.500, experienced in the crypto-market within a short period of time a significant retreat.
BTC levels slumped by $10,500 for $9.550 and $9,000 in quick succession – three a strong multi-year Support.
Whales such as Joe007, one of the largest Bitcoin traders on Bitfinex, warn Trader for a long time before such a reaction to the downward movement, as it flows to the organic demand and to Fiat for the support of the Bitcoin boom in February, is lacking.
Last week, the whale for this purpose, said:
“Would be 2-3 years delay in reaching a new ATH as big of a deal really?”
Long-term Bitcoin holders expect that the crypto market will occur before re-extended a rally into a correction phase, as this offers the market a stronger basis for recovery.
A long accumulation phase, not the crypto-market in the recent rally, it allows both small investors as well as institutions, a stable Fiat to drift inflow in the market.
An accumulation phase, allows the creation of a solid basis for a real bull market – as it was to watch in 2016.
Long-term fundamentals for BTC
While the halving of the block reward is not in the short term, not necessarily an optimistic factor for Bitcoin, it will work in the long term as the driving factor for long rallies.
Bitcoins value depends primarily on supply and demand in the market. It can be argued, therefore, that events that exert a direct influence on the supply of BTC, have the greatest influence on the price.
If the Bitcoin price recovers on a solid basis, this will eventually lead to an outflow of BTC in alternative crypto-currencies, resulting in a comprehensive recovery of the crypto-market.
Another fundamental key factor for BTC and the crypto market as a whole, the Emergence of a strictly regulated Trading is platforms, and Trustee.
Not only in the United States with both accredited as well as private investors provide a wide range of choices for stock exchanges and Depositary – e.g. Coinbase, Gemini, CME, Bakkt and LedgerX, also eToro.
The variety of Trading platforms provides for more competition in the crypto market and encouraged the company to improve in order to achieve an advantage over your competitors.
In previous bull markets, one of the main problems is the lack of reputable and trusted liquidity providers.
In the last 18 months, has the quality of the depositaries and stock exchanges, with the entry of legitimate participants increases significantly.
Other factors, such as the Hash Rate continues to be a constant positive factor for Bitcoin. The Binance Research Team writes:
“Despite the recent decline in BTC the Hash Rate has reached an ATH, and continues to rise.”