Finally cryptogenesis? Here’s what you can expect from Bitcoin and Ethereum in Q3 2022

Key information:

The price of bitcoin saw a decline of almost 56% during the second quarter of 2022. See also: ApeCoin Price Prediction 2030 – APE Long Term Forecast – feat. Crypto Academy.

The global crypto market value and most major crypto assets have experienced significant retreats and reach over the last three months.

Virtually stagnant futures and options markets and low trading volumes have been a constant in the bear market.

A long, cold winter at the bear market crypto Have participants look at price charts to seek pattern relief. Major cryptocurrencies – bitcoin (BTC) and ether (ETH) – have been trading around their lower support levels for more than a month.

This market stagnation has left investors and traders desperate for profit. As another quarter of 2022 begins, the crucial question remains whether the cryptocurrency markets can chart a recovery in the near future?

Another quarter, more losses?

Bitcoin’s price action in June was one of the worst monthly achievements in the history of the coin, with the price of bitcoin falling almost 38% during the month. This may interest you: The main cryptocurrencies for potential x50 returns: Cronos (CRO), Binance Coin (BNB) and Logarithmic Finance (LOG). Long-term and short-term losses drove out short-term owners and newcomers, leaving only inflexible HODLers.

Glassnode analysts pointed out in a recent report that last month’s price action from the big crypto only competed with the bear market in 2011 for the crown of the worst month ever. To give an idea of ​​scale, BTC prices were below $ 10 in 2011.

The Bitcoin price has consolidated over the past week, coping with the loss of the month and maintaining an interval-bound momentum around the highest price in 2017 of $ 20,000.

Over the past week, the price has fallen to a brief mid-week low of $ 18,741, before recovering to close at $ 19,139 by the end of the week. At the time of going to press, bitcoin was trading at $ 19,926, recording a 4.20% increase in the daily price window.

While the main asset trades 71.20% lower than its record high of $ 69,000, the current price action still stays within the narrow range of $ 21,600 and $ 18,550.

Can the loss of bitcoin and ether follow?

Despite the new quarter gaining momentum, there were no positive changes in the overall market mood. In fact, to the surprise of many newcomers, analysts have estimated that bitcoin and ether may suffer further losses in the coming weeks. Also see: Mitsubishi UFJ abandons its blockchain project and launches an electronic wallet.

After half a year, BTC and ETH are worse than a year ago. Both bitcoin and ether closed the second quarter of 2022 with negative quarterly gains as the macroeconomic environment in the financial markets deteriorated.

The Federal Reserve continued to raise interest rates while seeking to control inflation; however, this approach has had a huge impact on the growth and market value of risky assets such as cryptocurrencies. With growing fears of recession, cryptocurrencies may face tough times.

Japanese financial giant Nomura revealed in a note Monday that large economies could slip into recession “in the next 12 months amid tighter government policies and rising costs.” These stories of recession have also raised fears among investors and traders.

Bitcoin experienced a loss of more than 57% quarter over quarter, while ether fell more than 67% in the same period. Looking at the price effect of the two main assets, it is safe to say that BTC and ETH were able to accelerate their losses during the quarter.

Historical price data show that in previous bear markets in 2011, 2014 and 2018, BTC fell 68%, 40% and 2.8% in the third quarter of the year. These data reflect that the third quarter has not always been pleasant for bitcoin and therefore the broader market.

Going forward, the performance and recovery of bitcoin and ether prices will depend on macroeconomic conditions and strong hands in the market that can push the price towards recovery.

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Be vigilant and consult with your financial advisor before making any investment decision. Mirror-Mag can not be held responsible in case of bad investments. Before using a third-party service, you should do your own research.

Thomas Estimbre
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