Eight Consecutive Red Closes: Is Bitcoin An bhfuil tú i gceannas ar Théarnamh?

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Dé Luain, 23 Bealtaine, 2022 11:00 PM

Eight Consecutive Red Closes: Is Bitcoin An bhfuil tú i gceannas ar Théarnamh?

Bitcoin for the past two months has been closing consecutive weeks in the red. The previous week had seen it close its seventh consecutive weekly candle for the first time in history, and although investors hoped that this would end with a reversal, the digital asset has gone on to mark another week in the red. This makes it the first time ever for bitcoin to see eight consecutive weekly closes, causing major panic among crypto investors.

Normally when a large digital asset such as bitcoin is closing multiple weeks in the red, it points towards a massive bear market on the horizon. Now, it can be safely assumed that the crypto market has successfully made its way into the bear market. This has been the reason for the low and negative momentum among investors over the last couple of months. But with bitcoin closing so many weeks in the red, it is expected to get worse.

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One thing that has been consistent when bitcoin has closed multiple weeks in the red has been the downtrend that has usually followed the market. Even though there are those who see this as a time to accumulate, the massive sell-offs triggered by these red closes have simply won out in the end. These types of consecutive negative weekly closes have become known as an unavoidable part of being in a bear market.

Mar sin féin, ní fhaca an margadh aon rud mar seo. Bheadh ​​sé nádúrtha a bheith ag iarraidh comhthéacs stairiúil a úsáid nuair a tharlaíonn rud scanrúil ach gan aon phointe tagartha, níl aon bhealach ann a rá cén áit a bhféadfadh an margadh dul as seo. 

Even though there is no historical context to compare the current market conditions to, the opposite has happened before. Last year, bitcoin had recorded eight straight weeks of green closes. What followed this was multiple bull rallies that saw the price of the digital asset eventually hit its all-time high of $69,000.

Dá ndéanfaí é seo a thógáil agus a chur i gcomparáid le coinníollacha reatha an mhargaidh, leis na hocht ndúnann dearg as a chéile, is dócha go mbeidh an tsócmhainn dhigiteach i gceist le haghaidh tumadh iolrach agus tuairteanna a sheolfaidh ar ais chuig an gcríoch $20,000 í. Mar sin tá sé an-dócha nach bhfuil an bun an margadh mar go leor ba mhaith a chreidiúint.

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There are indicators that suggest otherwise though, such as bitcoin trading above its 5-day moving average. But this is only a good indicator for the shorter term as longer-term indicators remain bearish.

Small investors are also picking up the pace when it comes to accumulating BTC. The number of Bitcoin wallets with more than 1 BTC on their balance had recently touched a new high, now sitting at 844,906. While this points to positive sentiment among these investors, in the grand scheme of things, these smaller investors hold too little to actually move the market. So if there is to be any recovery, the digital asset would need some movement from larger holders.

Lean Best Owie ar Twitter le haghaidh léargais mhargaidh, nuashonruithe, agus tweet greannmhar ó am go chéile… 

Foinse bunaidh: NuachtBTC