Despite interesting news on the horizon for the cryptocurrency market, which has recently seen new listings of meme coins as well, the downward momentum has brought big losses to the sector, which has seen the general market capitalization collapse by 9.96% at the moment and stops at $3.19 trillion.
In essence, BTC and other cryptocurrencies are declining for various reasons: First, the US dollar moved sharply higher, pushing markets and cryptocurrencies lower. Secondly, Bitcoin’s 3-month cycle suggested a local high on December 19th, so a collapse was inevitable.
Furthermore, the rate cut by the Fed also affected the market trend; However, pre-sales with good foundations behind them do not know a crisis, in fact that of WEPE topped $32.4 million in just over 2 weeks and shows no signs of stopping.
Bitcoin falling: the cause is the 3-month cycle
The price of Bitcoin it reached a new local high on December 18th, which was the day before the 19th, when it was expected to be a local peak in the current 3-month cycle.
If we examine the price of Bitcoin through the lens of 3-month cycles, some important observations can be made:
- BTC price started rising on October 10th (see the yellow arrow in the chart below). At that moment 10 days have passed from the 3 month cycle.
- History has shown that quarterly cycles tend to have symmetric dynamics, especially when there are strong trends.
- The uptrend within this 3-month cycle was expected to end 10 days before the end of the cycle.
The second reason why the price of Bitcoin is falling, along with that of the rest of the market, is related to strength of the US dollarwhich has increased significantly in recent days, following the FOMC rate decision.
The expected result is a decline in the price of Bitcoin combined with a general decline in the cryptocurrency market.
The Fed’s impact on cryptocurrencies
Although cryptocurrencies have often been advertised as a way out of the traditional financial ecosystem, the crypto market is characterized by volatility and therefore large risk factors. This is why, when interest rates rise, cryptocurrencies also fall as happens with traditional market stocks.
The Fed cut rates: the drop in cryptocurrency prices comes precisely after this event. In particular, comments by Powell, who said that only two more rate cuts would occur in 2025, led to a market devaluation.
The Fed committee also raised its inflation forecast for 2025 from 2.1% to 2.5% and Powell argued that the US central bank has no intention of getting involved in any government attempt to accumulate Bitcoin.
Last year’s gains were based largely on speculation and momentum from items such as the approval of exchange-traded funds (ETFs) and elections. But in 2025 there may be fewer tailwinds and prices are driven by the number of new buyers entering the market, like Bitcoin.
In the meantime, however, the most interesting crypto pre-sales continue to raise funds: this is the case of Wall Street Pepe, which exceeded $32.4 million by focusing on giving small traders the same opportunities as large ones.
Wall Street Pepe flies over $32 million: will he be able to explode with the listing against the market correction?
Wall Street Pepe it is one of the strongest pre-sales of the moment, which it managed to overcome $32 million in just over two weeks, a real record for a meme coin ICO: previously, this year, Pepe Unchained had a similar success.
WEPE’s strength lies in giving a voice to small investors, who it wants to provide with the same tools to which large holders and expert traders have access, thus creating the same conditions for everyone.
Wall Street Pepe can count onAlpha Tradingi.e. a mix of market insights, signals and alpha calls, which can allow everyone to identify the best projects to invest in, but the launch of the Private Insider Group is also planned, a group in which the WEPE Army, the community of project, will discuss trading strategies and so on.
Every WEPE holder, once they have access to this private group, will be able to compete every week by sharing their trading strategies which, if successful, will allow them to win prizes in $WEPE.
The mechanism is already available during the presale stakingwith a current APY of 40%. Here is the opinion on the project of the crypto YouTuber Andrea Landriani:
To participate in the WEPE presale, simply visit the project’s official website, connect your crypto wallet and purchase the tokens with ETH, USDT or fiat money via a bank credit/debit card.
Finally, to stay updated on news, it is also possible to join the $WEPE community by following the official project pages on X and Telegram.
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