While the traditional markets and crypto market are still uncertain, financiers and investors are waiting for the macroeconomic reasons to be resolved. Currently, the Russia-Ukraine war continues and the Fed’s interest rate meeting is scheduled for March 15-16. In addition, Will Clemente, one of the famous analysts of the crypto market, says that Bitcoin (BTC) has drawn an increasing consolidation pattern for the last two months. In other words, Bitcoin does not indicate a positive or negative momentum in the market and exhibits uncertain movements.
BTC for the Last Two Months
Clemente emphasizes that BTC, the giant and the first cryptocurrency of the crypto industry, reached up to $ 45,000 in February, but could not exceed this limit and moved between the base price of $ 37,000 and the ceiling price of $ 45,000. At the time of writing, Bitcoin (BTC) is trading at $38,820, up 0.16% in the last 24 hours.
Experts say that this is due to the decrease in the purchasing power of both individual and institutional investors in the market. Because uncertainties prevail in traditional markets and fiat currencies, and most countries attract attention with increases in inflation rates.
The reason why Bitcoin (BTC) could not break the critical level of $ 50,000 is thought to be fear and uncertainty. Fear and uncertainty are currently the two main drivers for all markets. Unless positive signals come, investors are avoiding risk and investment and therefore liquidity is not available for market fluctuations as seen in February.
Does Uncertainty Remove?
In addition, looking at the Bitcoin volume in the stock market metrics, it is seen that investors withdraw funds from centralized exchanges and stockpile in private wallets. Thus, investors are slowly pulling down the liquidity of the crypto market, and the number of these investors is increasing.
The closest development expected to end the uncertainties is seen as the Fed’s interest rate announcement, which it plans to make tomorrow or on March 16. With this statement, the course of the American traditional stock market, which has a global impact, and therefore, it will be possible for investors to choose the paths in which they will take more confident steps, and perhaps the atmosphere of uncertainty that dominates the market will be lifted.