The price valuation of bitcoin is becoming increasingly complex as the market is divided into several macroeconomic factors. Nevertheless, a minor price rebound against the bears appears to be a stop when they attempt to form a bull bait. At $20,000, the barrier is not encouraging towards the bulls.
Bear market extends recovery phase
The bulls are stuck at the $21,900 level while the US stock market has recovered from the Fed rate fall. In addition, international markets are expanding, and the correction phase is driving marginal prices up.
Global recessions always come suddenly, and most market participants miss the opportunity to liquidate their cash and keep some of their prior gains, resulting in an extended delay for “recovery” which may or may not happen. Is.
However, according to Glassnode, Bitcoin has started a new journey towards the peak of its current negative market trend.
According to the record, a typical market crash for bitcoin lasts around 400 days and drops by about 80% during the fall. As we may recall, bitcoin began a downward journey after recovering from its all-time high in November, making the pattern at least 227 days old.
Bitcoin Price To See Another Drop?
Although the current selloff is not over yet, it can be called “typical” as it has lasted for more than 200 days. Compared to the previous phases, we can expect a moderate retracement or stabilization in the coming months or weeks.
After falling to $3,800 in 2018, Bitcoin has entered the stabilization zone on the 360th day of market correction. The consolidation enabled traders and organizations to start collecting BTC, which is now the primary source of price increases in 2019.
If the current financial round behaves similar to the pattern of 2018, we may see further downside and subsequent recovery by October-November. This will be followed by a spurt in recovery in 2023, when the Fed’s flurry will subside and the stock market will no longer be under stress.
At the time of writing, bitcoin was priced at $21,160 with no signs of increasing volatility.