Cryptocurrency markets have been in a downturn since the start of the second quarter of 2022. Every time it looked like the apparent cryptocurrency winter was going to see a slight thaw, another notable meltdown occurred: Celsius, Three Oz Capital, and most recently, FTX.

As 2022 draws to a close, the same negative feelings seem likely to linger. While some analysts say that bitcoin
BTC

cursors down
$16,406

and ether
ETH

cursors down
1162 USD

Derivatives are currently flashing positive signals for the market due to their high volatility, and this same volatility is affecting sentiment in other areas, including regulation, mining, non-fungible tokens (NFTs), and cryptocurrency stocks. Even with all this, companies like Porsche are getting into the Web3 and NFT space and Brazil has passed a law legalizing cryptocurrency payments nationwide. More than 60 venture capital deals were still finalizing in November, bringing $800 million in capital inflows into the space. There are many great things being built during this time of uncertainty, but it’s hard to ignore the current market conditions.

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Bitcoin is the leader in the entire cryptocurrency industry, and the bottom of the market may not be there yet. Historic declines in bear market prices suggest that BTC could still see a drop to the $12,000-$14,000 range.

With all this uncertainty, it helps to have subject matter experts who can help navigate all the different aspects of cryptocurrency. This is why every month Cointelegraph Research releases its Investor Insights report analyzing key indicators from multiple sectors of the blockchain industry, including regulation, crypto mining, security tokens, Bitcoin and Ether derivatives and venture capital activities – all explored by those who Something closely working with this topic.

Possible further decline in the price of Bitcoin
All eyes are on Bitcoin as the market looks for any kind of clues from the past that might inform the future. Bitcoin has held up amazingly well despite the constant speed bumps that got in the way.

As shown in the chart below, Bitcoin has historically reached declines of 80% or more from previous highs during the halving cycle before climbing as it approaches the next bull market. While this cycle may be different due to all the positive things Bitcoin and crypto have done over the past few years, it is likely to touch at least the $12,000-$14,000 range before rebounding in the short to medium term.

Cointelegraph Research Team
Cointelegraph’s research department houses some of the best talent in the blockchain industry. By combining academic rigor and filtering through hard-earned practical experience, the researchers on the team are committed to bringing you the most accurate and insightful content available on the market.

Demelza Hayes, PhD, is the Director of Research at Cointelegraph. Hays has assembled a team of experts specializing in finance, economics and technology to bring the premier source of industry reporting and insightful analysis to the market. The team uses APIs from a variety of sources in order to provide accurate and useful information and analytics.

With decades of combined experience in traditional finance, business, engineering, technology, and research, the Cointelegraph Research team is ideally positioned to put their combined talents to proper use with the latest Investor Insights report.

The opinions expressed in this article are for general informational purposes only and are not intended to provide specific advice or recommendations to any individual or regarding any specific security or investment product.

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