As the biggest volume of cryptocurrency, Bitcoin is in the waiting position for a volatile move in either direction. For a moment Bitcoin has consolidated between $40,000 and $44,500 after reaching its all-time high price in November 2021. Right now, is Bitcoin in Quarter 1 of 2022 worth to buy?
Seemingly, it makes investors aware of the uncertain market condition because over the course of January Bitcoin has a volatile move to the upside or downside in the price of $40,500 and $44,200. Psychologically, it drives investors to worry about the market direction of Bitcoin that the consolidation has pushed into a make-pr-break moment and created a fight between bulls and bears over which direction the market goes.
According to a crypto analyst, cryptocurrency has entered the third phase of a trading roller coaster. Due to the uncertain Bitcoin, the overall market sentiment of both cryptocurrency and equities sways toward the negative. Additionally, the uncertainty of how the Federal Reserve’s rate changes and the Covid-19 Omricon variant become parts of the current situation.
Market Cap of Bitcoin in Quarter 1 of 2022
In mid of January, the market cap of Bitcoin in quarter 1 of 2022 reached $802.30 billion, and it is still the biggest market cap among other cryptocurrencies. Due to the fact, Bitcoin still leads the market trend, it affects many tokens in a volatile direction.
Based on the candlesticks, Bitcoin has been continuously falling from its all-time high on November 10, 2020, due to a Tweet derived from Elon Musk about environmental impacts. Also, the series of concerns starting with environmental impact affect many tokens. As the second position of a number transaction volume, Etherium has also decreased drastically since December. For this reason, the price falls down to around 38.75% in a month, and it leads the underlayer tokens in this blockchain to move in a downtrend direction.
Wait Patiently, Seize the Moment
Most traders and investors have to wait for the downtrend market and it becomes a fearsome moment. At this moment, a reckless buying decision will drive traders into the trap. Similarly, the presumptuous investors will lead them into the floating loss. The market moves in either direction, which means that patience is the best way for traders and investors.
Besides, most tokens have not shown yet the signal to take any action in the market. Unless Bitcoin reaches its support in $34505.22 it means that buying signal is just around the corner. Particularly, both traders and investors should be ready for the moment of the price bouncing up from the support.
The candlesticks of BTCUSDT provide a direction move down and it is a downtrend signal. Undoubtedly, Bitcoin in quarter 1 of 2022 is downtrend until it reaches the support in $34505.22, so buyers should be patient and seize the moment at the right time. On the other hand, we can do research for other tokens that may breakthrough when we are waiting for turnback trend of Bitcoin.