Crypto red day - A healthy pullback
It finally arrived! If you have been waiting for a nice dip to buy, this is your chance.
Sustained surges over long periods of time is never a good sign - it's an indicator for a huge rollercoaster dip leading to large-volume shorting which triggers stop-loss limit orders, further dropping the price in a vicious cycle (see Palantir's performance between 20th November - 2nd December).
From yesterday's performance, along with today's even worse - anyone can see that this is no correction and that a correction will probably not take place at this point in time, as has happened annually every January from 2014 - 2018.
The crypto markets are more volatile than they have been all week - a good opportunity to day trade, but be very wary regardless of your positions - whether long or short.
By the end of the week, many are predicting further surges and gains due to the upcoming stimulus pack release - which will: increase debt, reduce the value of the USD, and thereby trigger further large-investor buy-ins. Of course, following today's performance, some faith in crypto has been lost, and so the gains will not be as large as fewer investors will invest, and those that will may not invest as much as they had originally planned. A few will take the red-day opportunity and invest even more than initially planned.
The 2017 bubble is not repeating itself right now.