$BTC Bitcoin Bubble Warning: Signs That Bitcoin Price Is About to Plummet?

The cryptocurrency market has recently experienced significant fluctuations, and Bitcoin – the leading cryptocurrency – is being warned by many experts of the risk of a major decline in value. After continuous growth phases, many current factors indicate that the price of Bitcoin may soon undergo a strong correction. Is this the right time for investors to consider selling?

Factors Affecting Bitcoin Prices

1. Saturated Market and Potential Sell-Off Wave

• As the price of Bitcoin has continuously grown in the past, more and more new investors are rushing to buy, leading to a saturation in demand. If this demand decreases or a sell-off wave occurs from large investors, the price of Bitcoin could quickly plummet.

2. Policy Changes from Major Countries

• Recently, many countries have started tightening cryptocurrency regulations and preparing new laws to restrict Bitcoin transactions. Moves from the US, China, and Europe are all putting pressure on the market, leading to instability in investor sentiment.

3. Impact from Fed's Monetary Policy

• With the possibility of interest rate hikes by the Federal Reserve (Fed) to control inflation, investments in risky assets like Bitcoin are gradually becoming less attractive. This will lead to capital flowing out of the cryptocurrency market, putting downward pressure on prices.