Bitcoin has undergone a sharp correction over the past few days, leading it all the way down to $6500 and it hasn't been able to break the $7000 resistance.
So I have been thinking about various causes for this sell-off.
Even though many reasons are being stated as of now like
They weren't convincing for me. Now I have found a reason that was more convincing to me and that seemed some what realistic . So I thought of sharing it with you guys.
Instead of focusing on the correction, I think the 40% rally due to the China Blockchain News is also the reason for the sharp correction that we are facing.
So, Why do I say this?
The reason being even though the China News acted bullish for the Price of Bitcoin. I think it turned out to be even more bearish when people started to think that China is more interested in Blockchain than Bitcoin and it also has plans to create centralized government issued digital currencies.
This perspective has been going along for quite some time now.
This is what I think has led to the sell-off and it makes more sense to me than the miners capitulating.
Because Miners would prefer to sell their bitcoin at a higher price after the Halving Obviously.
I don't say this is the reason, but this reason makes more sense to me than all the other reasons.
To be Optimistic, We are still more than 200% Up from the Lows of this cycle.
And as always I always focus on the Long Term Price Action.
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