🔥Bitcoin Correction, Leading to Altcoin Plunge, Was Predicted - Review Post 🔥

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The Bitcoin market fluctuated strongly in April

After a period of fluctuating around $70,000, Bitcoin suddenly plummeted for two consecutive days in April, just 17 days before the next Halving. Bitcoin price sometimes dropped to nearly 65,000 USD, leading to a decline in other Altcoins and causing the overall market capitalization to decrease significantly.

Despite falling in April, Bitcoin is still up for 6 consecutive months

However, overall in the first 6 months of 2024, Bitcoin has grown consecutively, breaking the record set in 2012.

Factors affecting Bitcoin correction

  • 💥 Money flows out of Bitcoin ETF

Money flowing out of Bitcoin ETFs, especially the Grayscale Bitcoin Trust (GBTC), is considered one of the main causes of Bitcoin price decline. On April 1, GBTC recorded a net withdrawal of $302 million, higher than expected.

  • 💥 Investor expectations about the Fed's interest rate cut decreased

The swaps market is pricing in the possibility of the Fed cutting interest rates in June below 50%, putting pressure on risk assets like Bitcoin.

  • 💥 Liquidate positions in the derivatives market

More than $500 million in Bitcoin trading positions have been liquidated in the past 24 hours, putting Bitcoin price under further downward pressure.

Analysts' comments

Many analysts believe that this correction is normal and that the Bitcoin market is still in a long-term growth trend.

  • @CredibleCrypto: "This decline is all about testing two reasonable levels of support."

  • @CryptoJelleNL: "Volatility in the crypto market is designed to make you give up or change your plans. Don't be fooled by this ruse - this bull market isn't over yet."

Conclude

The Bitcoin market is experiencing strong fluctuations in the short time before the Halving. However, in general, in the long-term trend, Bitcoin is still highly appreciated and has great growth potential.

Advice for investors

  • You should maintain your mentality and not panic before short-term fluctuations.

  • You should invest long-term and should not use margin to trade Bitcoin.

  • You should closely monitor news and market analysis to make appropriate investment decisions.

Note:

  • The above information is for reference only and is not investment advice.

  • Investors should take responsibility for their own investment decisions.

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