3 causes of bitcoin and jokes crashes

Bitcoin and most Altcoins fell on Monday, and they continued in a declining direction that has continued since Donald Trump’s inauguration.

Bitcoin (BTCIt fell to less than 97,855 dollars, and decreased by about 10 percent of its highest level earlier this month. Other major arrears in the encryption industry included famous names such as Fartcoin, Raydium, Pepe and Virtuals, each of which decreased by more than 20 %.

Many of these coins are largely traded less than their highest monthly levels. Fartcoin, Popular Mim currency on Solana (Teller(Network, decreased by 63 % of its peak this month. Raydium, the largest decentralized exchange of Solana, decreased by 20 %, while PEPE decreased by about 40 %.

The first main reason for this incident is the fact that investors have adopted a feeling of dangers After the success of Deepseek. This also explains the reason for the decrease in the main stock market indicators such as Dow Jones, Nasdaq 100 and S&P 500 by more than 2 %.

Deepseek, a Chinese competitor for Claude, Chatgpt, and Xai, were developed in less than four months and in a small part of the cost. Its success has raised concerns about the future demand for high -price chips from companies such as NVIDIA and AMD, as well as broader market reviews.

Second, Bitcoin and Altcoin prices decreased as the market expects the next interest rate decision for the Federal Reserve. Economists expect the Federal Reserve to maintain a tone of sincerity due to the high levels of inflation. A report earlier this month revealed that the main consumer price index increased from 2.7 % in November to 2.9 % in December.

Bitcoin and other encrypted currencies often interact with the federal reserve position, as it usually results in bond returns.

Third, the decreases are also implemented by the expectation of profit reports from major technology companies, including Microsoft, Amazon, Meta Platforms, Apple and Tesla. The weak financial results of these companies can have a negative impact on both stock and encryption markets.

Bitcoin price chart pattern indicates more negative

The Daily Chart explains that the price of Bitcoin has formed a double plan for $ 108,310, with the neckline 90,000 dollars. The dual summit is widely considered one of the most declining patterns in technical analysis.

On the positive side, Bitcoin remains higher than the moving averages for 50 days and 100 days, indicating that the overall upward trend is still intact. However, the landfill will continue as long as the price remains less than the double level of $ 108,310.