HiveComb

Hello traders! It has been a while we made some review on BTC market, and as you can see that a lot has happened in the market with Bitcoin dropping to $111k price territory recently. According to coin Market, fear and greed index is currently neutral at 50% has traders slowly move to short term profits target.

Bitcoin market has been displaying signs of weakness, there are possibilities that price might drop to $110k price level. Currently, Bitcoin is at $112,850 price level with resistance at $115k. Going by 4 hour time frame, Bitcoin recorded ATH at $123k price level, But could not hold this territory. Price dropped to $115 price level, and slowly moved up to $120k, where market establish major resistance with difficulty to push higher. If you notice that at this level, price form a top indicating lack of bullish interest to the upper territory.

Many traders who went long at within $120k price level were trapped in a losing position as price kept dropping due to increase in supply pressure. That is always the problem with retail traders. They lack skills and ability to perceive what is happening in the market at particular time. why? Because they are mostly moved by FOMO caused by belief held by the public or maybe group of influencers who keep sending wrong information to the public.

As a market participant, it is necessary to build a set of rules that guides your market activity to avoid impulsive decisions caused by the public sentiment. Going by market behaviors, one who is experience in the market should have perceived that BTC market has change and we currently have distribution going on in the market now. Data from Binance on ETF Net Flow tracker shows about $323.50M out flow in the last 48 hours.

If this sells momentum continue, possibilities are that price might drop down to $110k price level, and if price do not find strong support at this level, we might experience Bitcoin dropping down to $80k price level.

WHAT ABOUT ALT COINS?

This market has really change since the acceptance of Bitcoin spot ETFs. It looks like money only flows into Bitcoin and alt sections are not affected. Alt coins are not affected during market upside, but seriously affected during the market downside. Aside from money flowing into Bitcoin alone, I think it will be difficult for alt to experience significant appreciation in price due to massive over minting of memes tokens into the market. Therefore many short term profit hunters have shifted their focus to memes token trading, especially from Pump.fun on Solana network where a single memes project can pump almost %50,000, and $100 thrown in to this can deliver almost 50k returns within a very short period of time.

This is happening everyday and I can tell you that this has affected alt section as most people have shifted their interest into this, hunting for quick profits.

CONCLUSION:

Crypto market is very difficult to predict as we have market printing many price variables. Therefore it is necessary to work according to plans and not by expectation. People who mostly expect the market to do something most times end up being frustrated and feel depressed. It is important to understand that the market guarantees no man anything, that's why we say that the market is a zero sum game. To this effect, this article does not suggest any investment advice, So it is advised that you do your own research to build self confidence as this article was meant only for educational purpose. Thanks for stopping by.