On May 17, the biggest correction in the price of BTC took place. It fell to a 3.5-month low of just over $42,120
The fact that such a price indicator was set during the Asian session makes the situation even worse. Everyone knows that the exchanges of Asia traditionally have a higher level of prices for crypto.
In 2021, there were four major corrections. The current minimum is the most significant. The price of Bitcoin was 35% lower than the high of $64.88 thousand set in April.
Signs of a decline in value appeared at the end of April. Also, a couple of days before the current rollback were the prerequisites for further reduction in the value of bitcoin.
We are talking about the fact that on the exchanges there are many free Bitcoins. Over the past five days, 35,000 Bitcoins have been poured onto cryptocurrency platforms.
When investors send a lot of cryptocurrencies to the stock exchange, it is a bad sign. As we can see, it was confirmed.
At the time of publication, the price of Bitcoin is $43,685. The value of the crypto has consolidated. What could such a drop in the price mean?
In the traditional market, a pullback below 20 percent or more indicates a reversal of the trend and a strong bearish momentum. However, as we know, crypto has its own history.
There are many examples of value recovery in the cryptosphere after a fall of 25-30%. Largely because bulls get the opportunity to buy coins at a better value. Therefore, analysts believe that this pullback will prepare the basis for further growth.