When investing in crypto money, we always say that you should invest with money you do not need and learn to stay calm in order not to sell at a loss. Because cryptocurrencies don’t always move down, they don’t always move up either.
As seen in the last 6 months, Bitcoin first broke a record with $ 69,900, then regressed to $ 32,900 and made yesterday’s closing above $ 41,400. If you want to invest in crypto money and make a profit, you need to get used to fast price movements and staying calm during this period.
Fear Reduced in Bitcoin
For the past two months, Bitcoin’s fear and greed index has been showing serious fear. Therefore, the declines caused the investors to fear. However, the upward moves made over the past few days seem to have lessened the fear.
Fear and greed index declined to 11 levels during the last declines. The closer this index is to zero, the more fear in the market, and the closer to 100, the more greed there is in the market. According to the latest data shared, the index shows the level of 33.
Although this index shows that investors are somewhat relieved and their purchases may increase, it should be noted that the direction of the market cannot be determined clearly with this indicator alone.
Important Levels and Developments in Bitcoin
Bitcoin price started to rise after falling to $ 32,900. After consolidating for a while, the consolidation was broken up after a long time, and thus the leading cryptocurrency managed to break the falling trend.
If the upward moves continue after these levels, BTC will first try to exceed $ 42,000. It is thought that there may be a rapid increase above $ 42,000 to $ 45,000, but then a new correction may follow. Analysts think that this correction will not be deep and then the psychological level of $ 50,000 may be tested.
On the other hand, it is thought that an aggressive interest rate hike by the FED in March may also bring a correction in the BTC price. After Bitcoin has priced this situation, it is thought that the expected rally for 2022 may begin.
However, it should not be forgotten that things can change very quickly in the crypto money market, its direction may turn down again and another sharp decline towards $ 29,000 may occur.