Crypto investors have been in this position time and time again. Bitcoin and the rest of the market has been rising, building up bullish momentum, and then what? Thus far, nearly every major rally has been nothing more than a bear market rally.
Is this time different? Or will the crypto market suffer another massive crash when the current rally comes to an end?
Current Crypto Rally Mimics Past Bear Market Fakeouts
Bitcoin and the rest of the cryptocurrency market have been stuck in a long, painful bear market for the better part of nearly three full years now – starting after the bubble popped in late 2017 and early 2018.
As times goes by, and with each failed rally, hope continues to fade. Is this latest rally different, and crypto investors are simply in disbelief, or will this latest cryptocurrency market rally turn out to be yet another bear market fakeout that leads to further lows?
According to one crypto analyst, the current rally is exhibiting similar signs as the previous bear market fakeouts, before each rally came to a conclusion.
If Surge Turns Disbelief Rally, Investors Could Be Stuck FOMOing At Higher Prices
Markets are currently in turmoil over the coming recession and the coronavirus.
It’s caused widespread selloffs in most asset classes, and cryptocurrencies like Bitcoin especially took a beating.
Bitcoin itself suffered one of the worst crashes in the asset’s history, while the rest of the market fell by over 70% in many instances.
All this after the total cryptocurrency market cap had doubled in early 2020, and Bitcoin exploded to above $10,000.
The catastrophic fall prompted by coronavirus fears has left crypto investors scorn, and possibly, in disbelief.
Bitcoin price has nearly doubled in value from the recent low set below $4,000 as the dust settled on the panic-induced selloff. Crypto valuations have been rising, but sentiment has remained in the…