The long-standing Bitcoin surge has been exciting for investors. However, in recent months, the fear of Bitcoin dropping to the $12,000 levels has been a concern for investors. What does the correction movement, which started with the opening of the Asian markets, mean for investors?
Bitcoin is currently finding buyers at the $41,967 level. A rapid descent from the annual peak range of $44,000 caused losses of hundreds of millions of dollars in leveraged positions. The signs of a downward signal and investors focusing on profit sales due to this week’s busy agenda triggered a 7% drop.
The sharp pullback on the daily chart led to more than $300 million in losses. Investors who suffered significant losses in long positions did not expect the drop to be this swift. Usually, there is a pause after significant rises, but high-profit wallets triggered even more.
Still, the movement on the daily chart appears to be a minor break in the long-term bullish journey. The relaxation of the RSI is promising for more increases. The real significant move will start with the US data and Fed decisions on Wednesday. If the Fed suppresses optimism for the coming year, we could see serious losses.
It is now a clear decision time for the markets. If the BTC drop deepens, we will see much larger losses in altcoins. However, if the king cryptocurrency maintains its horizontal trend around the $42,000 range, this could be a good recovery opportunity for altcoins.