🚀 Bitcoin Market: Consolidation Phase Last week, after Bitcoin's price reached an all-time high of $99,400, the price began to fluctuate in the range of $92,000 to $98,000.
This price range may indicate a decrease in volatility and that the market is entering a stabilization phase.
📉 Decrease in Realized Profits
Daily exchange realized profits dropped to $277 million/day, 42% lower than the $481 million/day recorded on November 16.
This indicates the following:
1️⃣ Reduced profit-taking activity: Market participants are less actively selling their positions, which may be related to expectations of further growth.
2️⃣ Market consolidation: A decrease in profits often coincides with the accumulation and expectation phase of large price fluctuations.
🛠️ What does this mean for traders and investors? Conservative Strategy: Investors may start to consider long-term scenarios and prepare for new price fluctuations.
Focus on trading volume: The decrease in realized profits may also indicate reduced liquidity, making the market more sensitive to large trades.
📊 Looking Ahead. A consolidation phase often occurs before significant price fluctuations. This is a time to assess macroeconomic factors, trends in the crypto industry, and the sentiment of market participants.
Please note, the market may bring some unexpected surprises!