The entire market has been a bit sluggish recently;
It should have either accelerated its decline or rebounded;
But it did not accelerate, but it did not rebound either;
If it continues to fall like this, market sentiment will easily form further emo;
Bitcoin will be sluggish after the halving in 2024;
I personally think it can be analyzed from multiple angles;
Market cyclicality:
Bitcoin's price cycle is usually related to the halving event.
Historical data shows that after each halving, the market usually goes through a period of downturn before it rises.
This is because the reduction in supply caused by the halving takes time to affect market demand.
Market sentiment:
Halving events are usually digested by the market in advance, causing prices to rise before the event and then fall after the event.
This phenomenon of "buying expectations and selling facts" is common in financial markets (CryptoNews).
Macroeconomic factors:
Macroeconomic factors such as the global economic situation, interest rate policy, and inflation will also have a significant impact on the price of Bitcoin.
If global economic uncertainty increases or risky assets are hit, Bitcoin may also be affected.
Technical factors:
Technical development of the Bitcoin network and competition from other cryptocurrency projects will also affect Bitcoin's market performance.
If there are new technological breakthroughs or other projects that attract more investors, Bitcoin's market performance may be suppressed.
On the whole, the market downturn after Bitcoin halving may be the result of multiple factors. Investors need to consider market cycles, macroeconomic environment, policy supervision, and technological development to make rational decisions.
