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At the time of writing the crypto market capitalization is around $ 1.8 trillion, while on May 12 it was at $ 2.5 trillion after a week at $ 1.3.
This collapse was entirely logical for those with a skeptical view on the state of the markets, in fact we were positioned in a huge speculative bubble.
Why?
The notifications on my smartphone were active, and every second I received notifications of hypothetical memecoins that were born.
Dogelon, Shibainu, Catcoin, etc. (I could go on and on)
It is very clear as a situation, anyone who wants to make quick and easy money. In fact, the crypto market looks more like a betting room than one. real technological revolution. And I am very sad about this attitude which has now become customary.
Could it be just a rebound?
After a long descent, a big climb awaits us.
the recent collapse was totally different from what we have seen in past years.
Some of you will remember the collapse of 2017. In that period we went from 10 billion to 700 billion; from 700 billion to 300 billion, then back up to 500 billion, to drop back to 200.
But unlike the collapse of 2017, that of 2021 did not see many people selling and then going to try their luck in the country's betting center.
But these people, thanks to our experience in 2017, we saw a huge increase in retail investors, who bought more tokens to prepare for a bull market.
I get tons of questions, but one has been buzzing in my mind for a long time.
Are we currently in a bull trap?
(Example bull trap)
What? You say a bull trap. What is a bull trap? You should just set up bear traps.
A bear trap is a psychological trick to make you think the market is turning in order to buy back and become the purse holder again.
The person or persons running the bull trap have already bought back at a much lower price. So as soon as you have a full bag, you are trapped and the person who trapped you can lower the market to new lows to repeat the process again.
In conclusion
Let's remember that also in 2017 we bought the dip at -30%, and after a rebound we returned to -85%.
It is a difficult situation to decipher, you only risk what you are willing to lose.
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