“‘Tis the season…“
Well, I guess there goes our stability we had for a while. Hitting the lowest it has since the beginning of the year, Bitcoin has dropped below 5k and is currently sitting at $4,818 as I type.
What does this mean?
To be honest, I really don’t know. However, given the sudden nature of this and the lack of an apparent force or event manipulating the market, I would say this is ‘probably’ just market fluctuation. Now, it is possible that there is some unseen force or event that caused this that may be made known at a later date, but I have some doubts about that.
And as I always say with sudden changes, regardless of the cause, they are (almost) always going to correct partially. However, if this is just a market fluctuation then we are likely to see a a quick correction almost exactly the same as the sudden drop.
Still though, there is this nagging feeling of mine that since there is a sudden drop in value after such a long period of stability that there is something more to this (even if it’s not an outside force or event, but just a glimpse into a set of bear runs coming).
Hope you can make sense of my rough speculation here. Logic is telling me that this is a temporary market fluctuation, but my gut is torn between this being a fluctuation and this insight into rough waters ahead.
As always though: trade responsibly, don’t invest more then you can lose, and don’t hold me responsible since I’m wrong sometimes too.