The red market has appeared and it is time to buy
The reason for the current market situation and the huge losses traded
At the beginning of 2025, the digital currency market witnessed a significant decline, with significant losses in market value. Total losses are estimated at about 17% of the market value in one day, reaching $ 2.4 trillion. Bitcoin alone lost more than $ 40 billion during that period.
The reasons include:
1. Political changes: Donald Trump's election victory caused volatility in financial markets.
2. Monetary policies: The US Federal Reserve continued to postpone interest rate cuts, which reduced the attractiveness of digital assets.
3. Regulatory and security issues: Such as the investigation of major platforms such as "Binance" and the ban on trading in China, which damaged confidence.
This poor performance reflects investors' concerns about continued volatility in the digital market at the beginning of the new year.