Bitcoin Analysis – Cryptocurrency market experts and analysts believe that the sharp drop in the Bitcoin price is influenced by two main factors. One of these factors depends on the feelings of investors. Accordingly, negative news strongly affects the objective data of assets.
The investor’s perspective on future market trends influences his or her trading decisions. Market sentiment is a qualitative measure of the general attitude and feelings of investors towards financial markets or a particular segment of the market.
Positive and negative sentiment stimulates prices and provides trading and investment opportunities for active traders and long-term investors. The link between the stock market and Bitcoin is another influencing factor.
In general, cryptocurrencies act as an asset class in which market fluctuations depend on the feelings of investors; That is, their prices fluctuate in parallel with other financial markets.
During this time, concerns about macroeconomic factors and poor revenue performance of technology companies have strengthened this correlation.