📉 Crypto under pressure – a temporary correction or the beginning of a larger movement?
Today's day on the cryptocurrency market brings clear declines:
🔹 $BTC : 104 100 USDC (-3.23%)
🔹 $XRP : -7.41%
🔹 HBAR: -6.54%
🔹 $DOGE : -6.62%
🔹 LINK: -9.47%
On the Bitcoin chart, we can see a drop to the lower Bollinger band and a low RSI – signals of overselling that often precede a rebound. Nevertheless, selling pressure still dominates.
🔍 What is behind the declines?
1. Federal Reserve (Fed) policy
Recent statements from Fed representatives indicate that rate cuts may be delayed. Inflation in the US remains above the 2% target, which causes the central bank to remain cautious.
Higher interest rates strengthen the dollar and discourage investors from risky assets such as cryptocurrencies.
2. Geopolitical situation
Tensions in the Middle East and uncertainty surrounding the elections in the US increase risk aversion. Some capital is flowing into “safe havens” – mainly gold and government bonds.
3. Market behavior and investor sentiment
After several weeks of strong gains, some investors are realizing profits. Additionally, larger liquidations of leveraged positions have appeared in the market, exacerbating declines.
📊 What’s next?
RSI and volumes indicate that the market may be close to a short-term bottom, but the lack of a clear macroeconomic impulse makes a return to an upward trend difficult. Key will be the upcoming inflation data in the US and statements from Fed members in the coming days.
💭 How do you see it?
Do you view these declines as an opportunity to buy more, or rather a signal that it's better to wait on the sidelines?
Share your strategies in the comments 👇
