A Bitcoin Crash Was Imminent; More Downside Is Likely
2022.05.10 10:30
Cryptocurrencies are melting down fast enough to create the century’s Nightmare in 2022. I had warned that the double top formation by Bitcoin in November 2021 had already been indicted on Nov 10, 2022. I pointed out this steep slide in Bitcoin prices in an article I wrote.
BTC/USD Monthly Chart.
Technically speaking, in a monthly chart, the Bitcoin started a steep upward move in March 2020 after testing a low at $3937, and in April 2021 hit its first lifetime high at $64,400.
Soon after testing this first lifetime in April 2021, Bitcoin witnessed a steep fall and tested a low in July 2021 at $29,350 before resuming an uptrend and hitting the second lifetime high in November 2021 at $8,930.
I pointed out this formation of the double bottom while analyzing the movements of BTC/USD on Dec. 11, 2021, in a video.
BTC/USD Weekly Chart.
Computer hacking had already developed manifolds during this decade. Hackers were encouraged to be part of different types of wars among the countries to prove themselves as the most powerful nations since a sudden surge in trade war tussle between the U.S. and China in October 2018.
After the invasion of Ukraine by Russia on Feb 24, this warfare looks to be changing dimensions for the cryptocurrencies as the sanctions imposed on Russia by the US and the other western countries could encourage Russian hackers to disrupt the monetary systems of the sanction-imposers.
The sharp slide in cryptocurrencies could continue for a long time as most countries’ governments look to be under the fear of losing their control over the regulation of crypto-generated shaky moves in the equity and the forex markets now.
BTC/USD daily chart.
I explained the retracement zone in case of such a fall at that time. Let’s wait and watch how the governments take action on this front to tighten their control over their monetary control. These tightening efforts will define the further direction of cryptocurrencies.
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