Getting through the cryptocurrency market requires a lot of patience
Last week you saw a red flash across the screen as cryptocurrencies were bleeding. If you’re new to crypto, it was frustrating and you think cryptocurrencies were not for you. But if you’re not new, this was a normal day in the crypto world.
Last week, Federal Reserve Chair Jerome Powell said he didn’t think Bitcoin should be part of the government. His stance counters incoming President Donald Trump who wants to create a Bitcoin Reserve.
The cryptocurrency market didn’t like hearing this as Bitcoin and altcoins went from green to red in seconds.
Bad news in crypto scares new investors as the market takes a nose dive as fast as penny stocks. This market drops very fast and is affected by:
- Political news
- Economic factors
- Recession fears
- Government intervention (regulations, bans, or scrutiny)
- Scams and hacks
- Cryptocurrency company failures
- FUD (Fear, Uncertainty, or Doubt)
- Wide-spread sell-off (Whales or big investors selling)
