The instability in the cryptocurrency market continues to affect bitcoin (BTC). This weekend, currency fell lower 30 thousand dollars againand what after the collision with 20% drop in last 14 days. In December 2021, it outbid 66 thousand US dollarsbut in 2022 accumulates a 38% drop. According Daniel Cockery, Liqi CEO, these results were expected after the peaks of the last two yearsperiod with interest rates at historic lows, and complements:

“Last year, all the central banks injected a lot of money into the economy, a lot of liquidity. This obviously greatly favored the market for stock assets such as bitcoin and the exchange. And now, with inflation around the world, they’re pumping that liquidity with high interest rates, it’s making money move from variable to fixed income.”

now for Vinicius Bitzer, The BTC highs are the result of a series of events that have created a sense of fear in the market, especially after the recent landmark events on a global scale:

Cryptocurrency Ethereum has fallen to a minimum since July 2021
Even after fixing a short-term recovery over the weekend, instability persists.

In times of international crisiscryptocurrencies are used by citizens as a way to mitigate the effects of international sanctions and protect their investments. bitcoin remained politically neutral despite pressure and/or requests from major states. There’s been a lot of talk about the crash in recent days LandUSD (EATING) / MOONand the chaos affected the entire segment.

How much BTC and UST do not have direct ties, it will take time to restore investor confidence, and Bitzer concludes:

“LUNA was in the top 10 top cryptocurrencies and fell over 99% in one day, entered the top 200. It cost $100 and is now worth less than 1 cent. It will take some time for the market to regain that confidence due to the uncertainty an investor has, especially if they have lost more with the Earth.

(Credits: pixabay.com / sergeitokmakov)

However, for the creator of the price prediction model stock-to-flow (S2F), The BTC downtrend is coming to an end. Its creator, analyst”Plan B” known for creating bold predictions, was optimistic about the future of the digital currency. Even if its methods are disputed by experts, PlanB has built its reputation by anticipating a market cap of 2019 1 trillion dollars for bitcoins.

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Source: (1) livecoins.com.br, (2) livecoins.com.br, diariodonordeste.verdesmares.com.br, exam.com