The cryptocurrency market is bearish and that isn’t hard to miss as all top cryptos, including Bitcoin, are dipping during the last two weeks. Bitcoin is going further to the south from its all-time high price of over 61,000$, and the rest of the market is following. For a brief, XRP and Theta (THETA) were able to head upwards and collect returns while the rest of the market was dipping. However, both cryptos are now struggling to gain momentum for a bullish return with the rest of the market. Why is the crypto market dipping in March?
Potential Reasons Behind the Bears in March: Crypto Market is Dipping
As Bloomberg suggests, the latest reversal in trends, especially regarding the top crypto, Bitcoin, might have something to do with the upcoming expiry of derivative contracts. This case might be adding to the volatility of Bitcoin, while the top crypto might be pulling the rest of the market down. While the market of cryptocurrencies took off in 2021 with exceptional returns across numerous assets in the market, it appears that investors might be ready to invest in other asset classes, as Bloomberg suggests. Still, even with amazing gains, Bitcoin would retreat and lose some of its value ahead setting a new high, which might become a pattern that investors would be delighted to see this time as well. Bitcoin might be able to pull a trend reversal and push the price forward above 55,000$ in case that happens. For now, BTC is dipping towards 50,000$ support levels, trading -17% since reaching an all-time high of over 61,000$. BTC is now trading around 51,000$.
A New Opportunity for Crypto Investors?
The current dips can also be viewed as a new opportunity to invest in crypto at low prices and diversify an investment portfolio. The crypto market is volatile, that is for certain, while that volatility can likewise bring major dips and major gains depending on active trends.
Image credits: Cover photo taken from Executium
