LATOKEN wants its users and crypto enthusiasts to determine whether they understand what is happening on the crypto market right now and why it is important. So just go through our checklist!
The cryptocurrency market remains in a state of uncertainty, and the debate about what stage it is in is still ongoing. Now Bitcoin price is about $38,5 thousand, and the fight between bulls and bears continues. By the way, do you know who bulls are and who bears are?
Who are the bulls in the financial market?
Bulls in financial markets are investors and traders who are betting on further growth in quotations. Thus, they raise the Bitcoin price like a bull with horns.
Who are the bears?
Bears in financial markets are those who are betting on Bitcoin price declines. They can be compared with bears. They, like bears, bring down the Bitcoin price with their big paws.
What are the whales doing in the crypto industry?
The whale is the largest mammal on the planet. Therefore, by analogy, a whale is the largest cryptocurrency holder.
Can a whale only be a bull? Or a bear?
The whales do not necessarily believe in future market growth. They can sell their assets and also act unpredictably.
What are the stages of the market?
There are bull and bear markets (no whale market). The bull market indicates an increase in quotations; the bear market means a decrease.
Are there any other stages of the market?
Yes, there is also a stage that is called consolidation. Consolidation is the movement of the market in a narrow range. For example, in the past two months, the cryptocurrency market has been consolidating after a collapse from historic highs.
What is crypto winter? Are we heading for crypto winter?
The word “winter” is used to mean “cold, or lacking hotness” in stocks or currencies and implies a collapsed price of a particular commodity, product, or currency. It means that interest in a particular subject has waned to the point that prices seem frozen in time.
Crypto winter was observed on the crypto market from 2018 to 2020 when the Bitcoin price fell from a historical maximum of $20 thousand to about $3,4 thousand. This time it is associated not only with a decrease in quotations but also with a waning interest in the crypto industry.
Is crypto winter coming now?
No, it’s too early to talk about the coming crypto winter. However, Bitcoin has been trading in a narrow range over the past two months, which may indicate that the market is in the consolidation stage.
Is the bull market for cryptos over? What is the current Bitcoin price?
Not everything is that clear. For example, it is believed that cryptocurrencies remain in the bull market, despite the drop in quotations. On the other hand, other analysts are confident that the drop in quotations might mean the beginning of a bear market that could turn into a crypto winter. However, the bear market seems to be in the past. The quotations grew over the weekend, on average, by about 12%. Bitcoin price is about $38,5 thousand now.
What to do in the event of a bear market?
In the event of a bear market, the main thing is not to panic and act according to your plan. It is essential to stick to your trading strategy.
Did you answer all the questions correctly? Do you understand everything that is happening on the crypto market now, or are you a crypto newbie? In both cases, we are glad to share some helpful information!
By the way, do you know that all the most popular coins and altcoins are listed on the LATOKEN crypto exchange? So you can start trading them right away! Don’t miss such a chance.
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LATOKEN, a leading crypto exchange, makes trading and payments easy and safe worldwide. LATOKEN brings trading and banking to blockchain technology to automate transaction processing and save billions of work hours per year. A single year after its initial launch, LATOKEN got over 850k downloads on Google Play and over 1 500 000 followers on socials. Entrepreneurs looking for funding can consider the LATOKEN IEO Launchpad. There are 240+ digital assets available for traders with the option to connect using RESTful or WebSocket APIs on the LATOKEN platform. In addition, LATOKEN is planning to launch its own NFT Marketplace.
LATOKEN does not provide investment, tax, legal, or accounting advice. This article is written for informational purposes only. Like many other assets, cryptocurrencies are subject to high market risk. Please trade with caution.