Why Bitcoin Price is Dropping?
The entire cryptocurrency market is in red color except some of the coins which have started turning in green. We have been watching the market and for the last couple of days, it's going down and down. some of the people started saying that the market is crashing entering and bearish mode but I think this is too early to decide because correction is part of the market.
I'm not sure how things will be in the next few days but what I understand is that this drop is part of the correction that has happened because of recent news.
The first news is that Turkey has banned cryptocurrency in the country and for sure this is one of the reasons that has affected the market in a negative way and that is why we can see the falling price of Bitcoin and other coins. it's obvious that when any country puts a ban on crypto then their citizens will start selling that will create selling pressure in the market. so one of the selling pressure that we can see in the market is because of the Turkey cryptocurrency ban.
Another reason for this downfall is the tax plan by the Biden government in the US. This new tax plan is quite different and if implemented then this is going to port a lot of pressure on the investors because this tax will take out a bigger amount from the people who are part of the cryptocurrency world.
Our cryptocurrency market is based on a few things and news is one of the important factors that we cannot ignore. When we see a lot of positive news around then we see the price growing but when there is more negativity then it affects the price going down and the same is happening this time so if there is any further news coming in that is negative then hopefully we can see further dropping the prices. if there will be any positive news then I would not be surprised to see the Bitcoin price reaching towards the 55,000 U.S. dollar mark.
In simple words, I can say that if you are a long-term Holder then there is nothing to worry about for you but yes if you are new here and have a goal to earn more money in less time then I think this will definitely affect you. Especially the new people who recently entered for the short term might leave the market because there has been a significant dump in Bitcoin price in the last couple of days.
I am a long-time Holder and in the last three years, I have seen many instances with a similar percentage of drop so there is nothing that makes me bother and I'm just cool because my goal is long-term and I'm not going to sell anything just because the prices are dropping.
So guys Stay Calm and HODL!
Thank you so much
Hello dear friend, like you I have cultivated a lot of tranquility and patience, the crypto market can be very volatile, who entered in the short term must be patient and wait for a positive change to achieve the objectives that were raised, change today would be a total loss.
See you later my friend, excellent publication, have a great weekend.
I think the crypto space is quite unpredictable but some things can greatly influence the price of coins per time, and just like you listed here, these fundamental analysis can be queried for the fall in the price of btc that was witnessed. However, people that will hodl for long term should not be bothered.
Thanks for sharing buddy
Hello @alokkumar121
I agree with you, in relation to this fall, you have to stay calm, just as you too my goals are long-term.
We are seeing once again, as the news around the crypto world affects the price.
A recent news story is also the scandal of the Exchange Thodex in Turkey.
Excellent reading, thank you for sharing.
Happy weekend.
Regards.
Dear @alokkumar121
Quite a hot topic, isn't it?
I personally always love such a FLASH crashes. Since I take small profits while trading whenever I can - I see such a moments as best opportunity to stock up with some BTC again.
Im my opinion current crash is not a sign of bearish market. Hype was to small and marketmakers do know it.
It is also worth to check google trends and look results for "how to buy bitcoin". Once it reaches ATM - then I would be concerned. Because it means, that many new investors (often so called "weak hands") are flooding into the market. And they are first to panic once things go RED.
We're still far from moment of euphoria.
Recent crash is caused (in my opinion) by wave of panic and fear, after new US administration suggested increasing taxes on capital gains to 39,6%. So it's just a short term panic. That's all.
Mentioned by you news about Turkey could also cause some panic. However, I don't think what happens in Turkey matter that much. Because media do not care about it. So not many people would even know about this issue.
At the same time Media succesfuly managed to spread news about possible upcoming tax hike in US. And that news has been surely read by millions. And that really matters.
Stay safe buddy. And have a great weekend :)
Yours, Piotr
Hi @crypto.piotr
Good day.
yes, its a hot topic because the market showed a dip in price and when the market is in red then more people try to know the reason behind this.
It is certainly the result of fear and but I also think that we are seeing the market in good trend for so long and may be soon we are going to witness drop.. Its a bitter truth that market cant stat on top all the time.
thanks for sharing your valuable words.
Well the turkey ban did affect a lot of things since the crypto space works by demand and supply