Features TheBitTimes.com

A Cointelegraph Markets Pro score-based trading strategy reaped a 176% return in 2022 while Bitcoin plummeted 70%. The word volatility is typically received as a negative by financial circles just the same way the name Lionel Messi is received in Brazilian favelas, yet volatility historically presents some of the greatest opportunities for gains, especially in the crypto markets.  The crypto market experiences much greater price oscillations on average when compared to traditional markets, such as equities, bonds and Treasury bills. In 2021, the benefits of volatility were on full display: Market proxies like the S&P 500 exchange-traded fund trust (SPY) climbed 27%, while Bitcoin (BTC) rose a whopping 140%! Of course, the story is darker in 2022, but veteran Bitcoin investors did not find Bitcoin’s unceremonious drop from its high to be a surprise; in fact, crypto winters have historically seen Bitcoin’s value drop by over 60% at least three different times in the past, before ri...

Crypto investor sentiment saw a slight upswing, but the potential of a deep liquidity crisis in the sector could keep investors at bay. 2022 was a near-unprecedented year of extremes and black swan events for the crypto market, and now that the year is about to wrap up, analysts are reflecting on the lessons learned and attempting to identify the trends which may point to bullish price action in 2023.  The collapse of Terra Luna, Three Arrows Capital and FTX created a credit crunch, a severe reduction in capital inflows and an increased threat that additional major centralized exchanges could collapse. Despite the severity of the market downturn, a few positives have emerged. Data shows long-term hodlers and smaller-sized wallets are actively accumulating during this period of low volatility. While the market continues to see red, positives are emerging. Let’s dive in on the positive and negative data points. Low liquidity and losses abound When liquidity was flooding into the market...