Bitcoin It is unresponsive to events that should increase, but is extremely sensitive to developments that may cause a decrease. This is exactly what we’ve been seeing for roughly 3 months. This situation, which has become painful for cryptocurrency investors, continues today. So why is Bitcoin falling?
Why Are Bitcoin and Cryptocurrencies Falling?
In our evaluations this week, we wrote that there was generally a decline after the Fed meeting and that the same thing could happen again. We mentioned that yesterday’s Fed meeting will not include supporting details for cryptocurrencies. So, the renewed decline led by Bitcoin is not surprising at all.
As we mentioned in the previous last minute announcement, US markets opened with sellers about half an hour ago and Microsoft had a double-digit loss. We also mentioned that BTC, which remained unresponsive during the rise in the stock market, “will follow when the decline begins.” That’s exactly what we’re seeing right now.
- The decline in the US stock market.
- The fact that no interest rate cut is expected in at least the next two meetings, that is, until Powell leaves.
- Positive data on employment dealt a blow to interest rate cut expectations.
- Iranian tension.
- There is a possibility of tension with the EU in February.
- Trump’s The pressure on global markets due to the losses caused by the unpredictability of the dollar.
- Powell’s Concerns that the Fed will operate in the shadow of politics once he leaves office.
- US-based investors have remained sellers for a long time.
And we see today’s decline for countless reasons I could list.
BTC could test $85,300 and closes below could cause us to see a fresh move towards $80,700.
