What Will Happen After the Crypto Consolidation?
In financial markets, consolidation phases are often followed by a significant price movement. After extended consolidation phases, especially following a strong bull run, cryptos often enter another bull market phase. This cycle is due to the renewed interest of investors who take advantage of the relatively stable prices during the consolidation phase to reaccumulate their positions.
Im Juli gab es nicht viel Preisbewegung für den Bitcoin Kurs. An den Korrekturzielen 8.600 $ respektive 7.800 $ und dem Bullenziel von 13.800 $ hat sich nichts geändert.
- “Das Bullenziel beträgt 13.800 $ nach einem bullischen Bruch der 10.000 $ Marke.
- Das Bärenziel beträgt 8.600 $ respektive 7.800 $ nach einer bärischen Abweisung an der 10.000 $ Marke.”
Crypto markets, like any other financial market, go through cycles of bull and bear markets, interspersed with periods of consolidation. There are three main reasons why cryptos consolidate:
- Profit-taking: After a significant price rally, traders and investors often take profits, leading to a sell-off that counterbalances the prior bullish momentum. This results in the price moving sideways, i.e., consolidation.
- Uncertainty: Market uncertainty can lead to consolidation. When traders are unsure about future price direction, they may hold off on making significant moves, leading to lower trading volume and price stagnation.
- Re-accumulation: Often, consolidation is a phase where smart money re-accumulates their positions. Investors use this period to buy at lower prices before the next leg of the uptrend.
