According to DeFiance Capital, the next few weeks could see limited liquidity in the market, offering an excellent chance for strategic investments.
In Brief
Arthur Cheong pointed out that the market is poised for a phase of low liquidity, which could serve as an enticing opportunity for traders to make investments.
Digital asset investment firm DeFiance Capital In a recent social media update, Arthur Cheong, the founder and CEO, commented on the current slide in cryptocurrency values. He noted that the present downturn mirrors the catastrophic crash from March 2020, primarily fueled by vulnerabilities in traditional finance, although this downturn seems less severe overall.
Cheong mentioned that the cryptocurrency sector is likely to enter a low liquidity phase over the coming weeks, which could be a prime chance for investors with cash reserves. He predicts that larger investors who missed earlier chances to enter the market may seize this opportunity to make some moves.
In March 2020, Bitcoin plummeted from $8,000 to a low of $3,867. This decline was triggered by several factors, including the onset of the pandemic that shook global markets and prompted a flight to cash. A rebound in equity markets, likely driven by technical corrections, also played a role, along with the Federal Reserve's injection of $1.4 trillion into the economy, coinciding with heightened volatility on Wall Street.
Amid the market's downturn, Justin Sun has made a significant purchase of 16,236 ETH.
The recent decline This event unfolded amidst various strong influences, such as recent macroeconomic developments, strategic movements by Jump Crypto, and growing expectations regarding Kamala Harris's chances in the upcoming U.S. elections compared to pro-crypto candidate Donald Trump.
Currently, Bitcoin's value stands at $51,511, reflecting a sharp decrease of over 15.39% within the last 24 hours. Simultaneously, ETH is trading at $2,256, showing a drop of 22.61% in the same timeframe, based on CoinMarketCap data. This decline continues the bearish trend that commenced over the weekend.
Interestingly, several market participants are already capitalizing on the current situation. Cryptocurrency entrepreneur Justin Sun has utilized 37 million USDT to acquire 16,236 ETH. On-chain analysts observed that the wallet was just established today, after withdrawing 38 million USDT from the HTX exchange. reportedly Please remember that the information available on this page is not intended to serve as legal, tax, investment, financial, or any other form of advice. Only invest what you can afford to lose, and seek independent financial advice if uncertain. For further details, we recommend reviewing the terms and conditions as well as the support resources provided by the issuer or advertiser. MetaversePost strives to deliver accurate and impartial reporting, but keep in mind that market conditions can change without prior notice.
Disclaimer
In line with the Trust Project guidelines Alisa, a committed journalist at Cryptocurrencylistings, focuses on the world of cryptocurrency, zero-knowledge proofs, investments, and the extensive realm of Web3. With a knack for spotting emerging trends and technologies, she provides in-depth coverage to keep readers informed and engaged in the rapidly changing digital finance landscape.
