The market came to a bearish period

by in Cryptocurrency News

Bear market

Last Monday, the largest digital currency collapsed to its lowest level since last July.

The coin on some trading floors tested values ​​below $33,000, but on Tuesday it was able to rebound. Compared to the peak values ​​recorded in November, the value of BTC has fallen by almost 5%.

In the middle of the week, the price rebounded to $37,762. Traders believe that the crypto market has already entered a bearish phase, which could stretch for the next few months.

A similar situation was observed in 2018. Then, as a result of the so-called "crypto winter", the value of bitcoin collapsed by 80% compared to the values ​​reached at the end of 2017.

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Analysts at BNP Paribas predict the dominance of bearish sentiment, at least until the summer. Over the past year, the market has been flooded with speculators and various dubious projects, including the NFT industry.

Cooling down was inevitable. In addition, the correlation between BTC and the US stock market has been affected.

The fall of the S&P 500 indicator by more than 8%. The exit of capital from risky assets led not only to a fall in the shares of the technology sector and bitcoin but also provoked the strengthening of the dollar.