The bear market is far from over - after Bitcoin (BTC) was sent reeling below $8,000, and continues to slide. BTC sid to $7,439.54, triggering a new bout of predictions when the price would bounce.
This is the third big wave of falling BTC prices, and the asset has lost around 25% in the past month. Granted, the fall is much less steep compared to the 65% loss in January, following the December peak prices. Last week’s Consensus event in New York failed to give the prices their annual boost, and only managed to stem the price slide.
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Even a month ago, BTC was seen in a downward trend, especially after failing to gain above $12,000 again.
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In 2018, Bitcoin had three larger series of slides, followed by a climb, but to a lower level. However, after each drop, the slide has been less steep. This has caused some to see an inevitable climb happening in the coming weeks.
But for John McAfee, the drop now is a natural event given the inherent volatility of crypto markets - and the climb would be expected in July.
The longest bear market of 2013-2015 made Bitcoin drift sideways below $1,000. This time, the expectation was for BTC prices to recover on a shorter time frame - but with every serious drop in prices to a lower level, the optimism evaporates. Some believe BTC has enough downward momentum to touch $5,000 again, before starting to appreciate anew. A better-case scenario sees BTC slide to $6,200.
During the current market slide, there is a market withdrawal of dollar-based trading. The share of the Japanese Yen has expanded in percentage terms, to 57% of all trades. The share of USD trading has fallen to 21%, and Tethers take up 14% of Bitcoin deals.
Some believe the current trend is driven by deliberate selling, aiming to depress the price. Currently, most Bitcoin assets are held away from the markets, so even a handful of bigger owners can steer the direction. This has caused extra vigilance from regulators, who recently started an exploration of dubious trading practices on Bitfinex.
This article appeared first on Cryptovest
