Crypto
BTC Bearish Sentiments Could Continue For Over A Year, Bottom Still Two Months Away
Published
1 year agoon
Bitcoin bearish sentiments continue as traders are treading very carefully. Bitcoin has tanked below $20K in a month, and investors patiently wait for the prices to bottom out. Looking at history, there is a detailed timeline in which the Bitcoin values bottom out, and by those levels, it is still several months away before the market will reach its bottom cycle. However, it is still early to say how the crypto market will pan out, especially after significant events like the Merge, affecting other crypto assets, including Bitcoin.
Chronic Bearish Phase For Bitcoin?
The current bearish environment is going to be quite unpredictable and when the BTC bottoms out is not clear. It has been almost a year since the last bullish sentiments were seen, and BTC values were galloping at the all-time peak of $68,000.
At the beginning of this month, hopes were rekindled when BTC looked to breach the $25K mark. The last time BTC fell below the $20K mark was in July, which has already happened twice this month. When the final reports came in, BTC was changing hands at $20,150, up 1.59% in the last 24 hours; according to the price tracker, CoinMarketCap is still lower by 6.63%, considering the weekly average.
Looking at history, the bearish sentiments will continue for an entire year. By this calculation, the BTC bottom will happen around two months away, as per crypto analyst Rekt Capital.
“Historically, BTC bear markets tend to find their absolute bottom price approximately 365 days after the previous bull market peak. It has been almost 300 days since the bull market peak. So, if history repeats, the BTC bottom is still at least two months away.”
Long-Term BTC Investors Bearing The Brunt
BTC investors are facing a difficult situation and operating under significant losses. Statistics reveal that the long-term holders of BTC are selling their tokens at a loss, and the market value to realized value (MVRV) also hints at a bearish sentiment in the trading community.