So are you a “buy the dip” person or dump and run person? Anyways, all of the global markets just witnessed a significant crash, including the cryptocurrencies market, on one hand where bitcoin is down by approximately 5%, while many altcoins are bleeding hard.
Looking at the present price movements, ETH is down by 6%, DOT is down by 10%, and almost all the metaverse tokens are bleeding the hardest, whereas DAR is leading with almost -30%.
There are various analogies on Twitter that explain this crash. One of them is the collapse of all global markets as the new COVID-19 strain comes into the limelight.
The news comes from Israel as it identifies a case of a new Covid-19 variant recently discovered in southern-African nations. Further, even South Africa issued an already about this rapidly spreading new variant.
This has led all the global and crypto markets in a state of panic. Further, the final one-hour liquidations have reached over 265 Million US dollars.
The Bitcoin Crash
There are a lot of analogies that justify this crash; we discussed one of the above. Let’s have a look at the other. According to a tweet by @Pierre, this was just bitcoin heavily denying the primary resistance zone mentioned in the chart he posted on with the tweet. He further went on to say that this happens every year and called it a Thanksgiving Dump.
Where’s Bitcoin Headed Next?
Bitcoin is currently in the accumulation phase after the corrective wave. We have to observe some price action, and we will hopefully see an upward trend after the accumulation phase.