Analysts said the first bear market sign “will be a market value below 2.38T USD” – Market Update Bitcoin News
Due to the sharp depreciation of a large number of digital currencies, the value of the encrypted asset economy has been declining in the past week. The entire crypto economy fell below the 3 trillion U.S. dollar mark, hovering at around 2.7 trillion U.S. dollars among 10,970 cryptocurrencies. On Monday, Bitcoin’s dominance was slightly higher than the 40% area, while Ethereum’s market accounted for 18.4% of the crypto economy.
Analysts pointed out some possible factors that may cause the market to decline
The digital currency market ushered in better days. On Monday, November 22, 2021, Bitcoin (Bitcoin) Fell 9.7% in the past 7 days. As of press time, the transaction price of a single bitcoin is slightly higher than $58,000 per unit area, and the market value of the asset is approximately $1.11 trillion. Ethereum (Ethereum) It fell by 7.4% last week, and the current price per Ether is below US$4,300. Among the top ten market capitalizations this week, the largest decline was Polkadot (DOT), with a decline of 12.3%. Solana (SOL) suffered the least loss, down 6.7%, and avalanche (AVAX) rose 41.0% this week, making it into the top ten.
In a report sent to Bitcoin.com News, Etoro’s market analyst Simon Peters explained that there are several factors that could cause the market to fall. “Bitcoin and many other crypto assets fell sharply last week, and there are several possible factors at play,” Simon Peters said. “First of all, Taproot’s upgrade to the Bitcoin blockchain has brought uncertainty to the investor community. Taproot may be the most important network upgrade in the past four years, aiming to simplify the transaction of encrypted assets, making it faster and cheaper. Upgrades of this nature may cause short-term uncertainty, because investors will pay attention to what will happen to the network,” Peters added.
The Etoro analyst continued:
The recent impact of price levels is the US Infrastructure Act. The bill, led by President Joe Biden, may subject companies to stricter regulations on reporting and handling of encrypted assets, which further exacerbates investor uncertainty. Finally, as Bitcoin and other crypto assets hit record highs, investors will always have some degree of profit-taking, which then translates into price weakness. Both Bitcoin and Ethereum are growing, and the ups and downs of the market are part of this story.
Alex Kuptsikevich: “The bear market will be the market value falling below 2.38 trillion US dollars”
Fxpro Senior Market Analyst Alex Kuptsikevich introduced Bitcoin in detail in his morning crypto market analysis (Bitcoin) The market is bearish. “The technical side of Bitcoin is bearish,” Kuptsikevich explained to Bitcoin.com News.
“After Friday’s technical rebound, the first cryptocurrency encountered resistance in the form of a 50-day moving average and a 76.4% retracement of the September-November rally over the weekend. Kuptsikevich added that the strong start from this level The sell-off indicates a short-term trend reversal and prepares for a deeper, longer-term correction.
Kuptsikevich further pointed out:
The first sign of a bear market is that the market value has fallen below $2.38, which is 8% below current levels. For Bitcoin, this level is close to $55,000, a 20% drop from the peak, and it has returned to the September high, which is 61.8% of the previous upward momentum. Overcoming these levels will mean a further retracement of 20-30%.
Huobi Group analyst: Bitcoin’s future price is “highly uncertain”
“According to data from Huobi Global, Bitcoin Huobi Group analysts pointed out on Monday that it quickly fell to 57,500 US dollars during the day and was hindered. “From the 4-hour K-line, the 3 EMA lines are descending in different intervals, and the slope of EMA5 is the largest, which implies that the downward trend of prices is gradually obvious. Price changes [went] Today is small, and the trading volume has returned to normal levels. “
What do you think of the outlook for the cryptocurrency market this week? Do you think the market looks bearish or do you think the market is still bullish? Please tell us your thoughts on this topic in the comments section below.
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