Last Friday, the Bitcoin market faced difficulties. After a few hours, BTC price It plummeted from over $120,000 to less than $110,000, but still stopped at over $100,000.
However, it remained below $110,000 for just over an hour before quickly rebounding. In fact, I went back there five times on Sunday, but never stayed long.
Bitcoin market difficulties
What was the origin of that? difficulty Do you have it?
In reality, these are just external factors, but they have a huge impact on the environment. BTC market.
In particular, this involved two specific factors.
The first and most obvious was the temporary escalation of the situation. trade war between usa and chinaThen it disappeared within a few hours.
The second, and less obvious, was the forced liquidation of leveraged positions in the crypto derivatives market. This market is very similar to the cryptocurrency derivatives market. Bitcoin.
The combination of these two factors caused a cascade of sudden and very rapid sales that seemed unstoppable at first, but eventually stopped before the price dropped below $100,000.
Bitcoin (BTC) price recovery
The key point this time was the recovery that followed.
In fact, the chain sale lasted no more than eight hours, and nothing similar happened in the following hours, at least so far.
However, please note the following: bitcoin price Some think he's still struggling because he hasn't gotten more than $120,000 back.
A further attempt to push back below $116,000 on Monday failed, and yesterday it made two attempts to break below $110,000 again.
However, since Sunday, it has remained flat between $110,000 and $116,000, which is a fairly narrow range. BTC's habits.
In the world of cryptocurrencies, market sentiment often oscillates between bullish and bearish phases. Investors are closely monitoring these trends and making informed decisions. Bull markets are characterized by rising prices and optimism, while bear markets are characterized by falling prices and pessimism. Understanding these cycles is very important for traders looking to maximize profits.
strength of bitcoin
Extending the analysis to a longer period reveals the following: Bitcoin It continues to show signs of strength.
For example, on September 25th (20 days ago), it fell below $110,000 and remained there for more than three days. However, this time it only briefly fell below this threshold and consistently rose above it within just a few hours.
Furthermore, the average price for the ongoing laterization phase is the same as the price that occurred from September 22nd to 24th before the last drop below $110,000.
With this in mind, the fact that, despite falling from its highs, it has not fallen back to late September levels in recent days should definitely be considered a good sign.
bubble
Actually, from October 1st, Bitcoin market mini-bubble Justified only by excessive enthusiasm for a possible year-end rally.
This little bubble drove the price from $114,000 to $126,000 in less than five days, bursting from Tuesday, October 7th, and crashing on Friday, October 10th. In fact, prices have returned to late September levels, actually slightly higher.
Minibubbles tend to behave exactly as follows. That is, it lasts only a short time, and when it ruptures, everything returns to its previous state.
In other words, the current situation for BTC is about the same or slightly better than it was 15 days ago.
Comparison with 2017
Something vaguely similar happened at the end. 2017.
Let's not forget that 2017 was the first year. Trump in the White Housejust as 2025 is the first year of President Trump's second term in the White House.
There are some similarities with 2017. dollar decline It is held throughout most of the year, although the timing varies slightly.
The restoration at that time was bitcoin price It started on October 8th, rather than October 1st like this year, and was followed by smaller, shorter fixes more or less similar to the one going on now.
There was a second recovery from October 19th, followed by another small adjustment.
The beginning of the year-end bull run can be traced back to October 8, 2017, but the Great Bull Run, which inflated a huge speculative bubble, actually just started on the 31st of the same month and lasted until December 17, with various ups and downs.
If the situation continues as in 2017, we might expect a new rally in Bitcoin prices from Sunday to Monday, similar to what started on October 1st.
