10x Research's latest report indicates that Bitcoin is facing increased pressure amid narratives of a bear market, with many traders maintaining long positions despite recent declines. The report highlights the re-emergence of the 'three years up, one year down' cycle logic, suggesting potential for contrarian strategies if a crowded consensus forms.
10x Research turned bearish in late October, coinciding with a drop in Coinbase's implied volatility, a pattern typical of bear markets characterized by sharp declines and rallies. The report notes that while bear markets pose operational challenges, they also offer strategic opportunities due to heightened volatility. Bitcoin is currently testing its long-term uptrend line, with past interactions marking significant bottoms, raising the question of whether this is a buying opportunity or a cautionary signal.
Bitcoin Faces Bear Market Concerns as Traders Seek Contrarian Moves
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