The Crypto market is going through an unusual period of turbulence, even confusing the most experienced traders. Despite favorable conditions and the displayed support of the American government, cryptocurrencies are struggling to maintain their upward dynamics, creating a paradox that destabilizes investors.
The crypto market no longer reacts as before
On February 4, several influential traders expressed their misunderstanding in the face of the Crypto market movements on X.
The Sykodelic trader has describe the market like “” completely cooked », Note that despite the favorable measures of the US government and President Donald Trump, the courses continue to drop.
For The Bitcoin Therapist, Bitcoin is strongly undervalued from $ 50,000 to 100,000, despite many positive signals.
“” Something bell in the pricing of bitcoin. We are undervalued from at least 50,000 to 100,000 dollars. There are too many reasons to be optimistic. A violent reassessment is to be expected. »»
The Crypto Fear & Greed index, which measures the feeling of the market, illustrates this confusion with a brutal fall of 18 points in one day, going from 72 (euphoria) to 54 (neutral) on February 5.
The paradox is all the more striking that at the end of 2024, the experts agreed on an increase in Bitcoin for early 2025, stimulated by the election of Trump and the hypothesis of a bitcoin as an American national reserve.
Macroeconomic events upset forecasts
Although Bitcoin has reached a new historic summit exceeding $ 109,000 during Trump's inauguration on January 20, the market has known increased volatility from increased volatility. Trade tensions initiated by Trump's new customs policies have caused the “” greater liquidation event in the history of crypto »On February 3, with more than $ 2.24 billion liquidated in 24 hours.
Despite the later suspension of the customs tariffs planned for Canada and Mexico, Bitcoin is struggling to maintain the psychological threshold of 100,000 dollars, currently exchanging around $ 97,925.
The domination of bitcoin on the market continues to progress, reaching 61.47 %, thus exceeding the forecasts of analysts who anticipated the start of an altcoin season.
Faced with this unusual situation, Michaël Van de Poppe, founder of MN Capital, remains optimistic, claiming that despite the expectations of an imminent market on the market, “” It only just starts to start ». And during this time, Eric Trump, one of the sons of American president Donald Trump, publicly encouraged the purchase of Ethereum, following a surprising tweet on his X account.
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