Bitcoin (BTC)Crypto News

Bitcoin has not hit rock bottom yet, and that’s why: Analyst

                                                            Obwohl Bitcoin bereits um mehr als 30 % unter seinem im letzten Monat markierten ATH liegt, glaubt Peter Brandt, dass der Vermögenswert möglicherweise noch nicht seinen Tiefpunkt erreicht hat.  Der CEO von Factor LLC stellte fest, dass es noch keine großvolumige Panikkapitulation gegeben habe, um diesen Tiefpunkt wie bei früheren Korrekturen zu skizzieren.

Bitcoin has bottomed out yet?

A little over a month ago, the entire cryptocurrency landscape was very optimistic about positive developments from all directions. Perhaps the most notable news at the time – that the US will finally have a Bitcoin ETF, even if it is futures-based – sparked a massive rally that culminated in breaking the previous all-time high and a new one at 69,000 $ to register.

But a lot can change, and it did, in the ever volatile field of digital assets. Instead of continuing its bull run in 2021, BTC reversed course and gradually began to decline in value.

Now, less than six weeks later, Bitcoin is struggling to stay above $ 46,000, meaning the asset has lost more than 33% of its value in that period.

While this is a significant drop in prices in itself, popular trader Peter Brandt thinks the generally low volume and lack of “high volume panic surrender” could mean that BTC is not out of the woods just yet.

Effects of volume

Major lows at $ BTC have occurred with large volume panic surrender

That (still ???) has to happen

Thoughts??? pic.twitter.com/dYmDNADxuP

– Peter Brandt (@PeterLBrandt) December 20, 2021

As Brandt’s chart shows, trading volumes remained relatively low even during the massive crash two weeks ago. On previous occasions, volumes skyrocketed when BTC was in a downturn in what later turned out to be local lows.

Perhaps the most notable example was in March 2020, when Bitcoin was dumped more than 50% in one day when the COVID-19 threat officially became a pandemic. The total spot trading volume reached a new ATH, and BTC never went back to that level.

Negativity is back

With the aforementioned price decline, the general mood among the majority of the crypto community has turned negative, which is largely to be expected.

Apart from the feelings of Extreme Fear, those of the BTC Fear and Greed index shows, research resource Santiment outlined another worrying sign. Since Bitcoin stayed below $ 50,000 for a week, the company saw its “most negative trader comment since early October.”

It’s worth noting, however, that BTC usually does the opposite of what people expect it to do, which could be a “good sign that prices can finally go up again,” Santiment said.

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Source: Crypto News Deutsch

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