US And China Tensions
President Joe Biden and President Xi Jinping completed their meeting on a considerably more pleasant note than expected. There appears to be a willingness on both sides to restore the relationship since they recognize that working together on common goals is the only way ahead. For the last several years, they have witnessed the consequences of unneeded friction, which has resulted in nothing but mayhem for market participants and company owners.
Overall, it is reasonable to conclude that traders are more confident in the US-China relationship today than they were before the meeting.
Crypto Winter Or An Opportunity?
Winter has arrived, but the main concern among cryptocurrency traders is whether or not the crypto winter has arrived. Nobody wants to witness another crypto winter since it is difficult to forget the devastation caused by the previous one. Furthermore, traders have been anticipating a large rebound, especially given that this time of year normally sees a robust rally for cryptos—with the exception of the crypto winter.
Looking at the Bitcoin price, it appears that the Bitcoin bulls are losing ground, and they are likely to suffer in the near future, particularly if the price falls below the 50-day SMA on the daily time frame.
According to the CompareBroker.io research, Bitcoin prices have the tendency to plunge as much as 70% from its high and there has been a number of cycles in the past number of years where bulls have been crushed by the bears. But one factor their research shows is that the current sell off in the Bitcoin price was long coming, due to the uncertainties on crypto’s tax rule. However, traders must understand that these are only positive aspects. but if US consumers begin to pay tax for holding Bitcoin, it will only serve to legalize the cryptocurrency's existence.