As many of us are concerned, the crypto market is stalling from the past few months. Holders are worried if there will be another surge in the market value of the crypto coins.
Image by Gerd Altmann from Pixabay |
Crypto analysts believe the stalling of the market is temporary but it might last a while. It's because of the prevailing fear among the investors after the coins lost almost 75-80% of it's value leaving a segment of late investors into heavy loses. However early investors though not at such a loss, they too have faced quite a shock after looking at their investments grew by 800% to billion dollars only to lose value to couple thousand dollars in the next prevailing months.
Though the crypto market is now at a over-sold condition yet it struggles to rise in value. Because of this fear of losing money in the long term, people are now preferring to sell at little profits. This is why every minor surge now is followed by a bear market caused by fearful investors. However this fear is to be short-lived and the market will result in a stable price for a while before the next surge begins.
Fear market helps Whales (Big Lumpsum investors) to buy in bulk at a lower price. Market trends show clear signs of whales re-investing into the coins while fearful investors making the sales and bringing the price back to stable levels. Due to this, the lumpsum investors are able to buy and stash more coins at a cheaper rate and wait for the fear market to end. As the saying goes "It is the Dips that makes the billionaires"
"When prices are up, people wish the prices go down so they can buy bulk at lower price. And when prices go down they fear. There are sharp distinctions between stock investments and crypto market investments which new investors always tend to oversee.", experts claim.
Experts believe the fear market to last a few more weeks and by mid September 2022 when it's gone and all the sold assets are reinvested into the coins, it is then the market will enter into another massive bull run.