Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

How long will the bear market last? Signs to watch for a crypto market reversal

Published 10/20/2022, 03:35 PM
Updated 10/21/2022, 05:40 PM
How long will the bear market last? Signs to watch for a crypto market reversal

The current crypto bear market has induced panic, fear and uncertainty in investors. The dire situation started when the global market capitalization of crypto dropped below the $2 trillion mark in January 2022. Since then, the price of Bitcoin (BTC) has decreased by over 70% from its all-time high of $69,044.77, reached on Nov. 10, 2021. Similarly, the values of other major cryptocurrencies such as Ether (ETH), Solana (SOL), Avalanche (AVAX) and Dogecoin (DOGE) have decreased by around 90%.

So, does history tell us anything about when the bear market will end? Let’s start by examining the causes of the 2022 bear market.

FRED consumer price index. Source: St. Louis Fed
United States interest rate. Source: St. Louis Fed
Bitcoin market cycles. Source: Grayscale
BTC’s realized price vs. market price. Source: Grayscale
The 2020 bear and bull market cycle. Source: Grayscale
History of Bitcoin halving. Source: Swyftx
Bitcoin and S&P 500 correlation chart on Oct. 20, 2022. Source: TradingView
BTC and S&P 500 correlation rate. Source: Coin Metrics

Continue Reading on Coin Telegraph

Latest comments

the days of making money off cryptos are over! the losses are mounting and will never recover! cryptos is not gold! wake up from your slumber!
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.