Bitcoin Price Hits 6-Month Low of 38.5K – What’s Next?

Bear Market or not?

Yesterday started rather well for Bitcoin with the price rising to $43K. This came as Russia had just announced its intentions to ban Bitcoin and cryptocurrencies. This is a topic that often comes up in Russia, as the authorities have never taken a clear stance on the issue.

Moreover, given the strengthened relationship between China and Russia, it seems obvious that in the short to medium term, Putin's Russia will follow the same path as Xi Jinping's China. It is a question of strategic alignment.

This should not, however, alarm you more than that. Bitcoin is synonymous with freedom, and it makes sense that all the world's dictators and autocrats want to take it on. They can't stand a system that gives the people power over their money. They consider it far too risky.

The price of Bitcoin was then about to break the two-month downtrend that began after its ATH on November 10, 2021:

Later in the day, two phenomena intertwined, causing the price of Bitcoin to fall by just over 7% to a 6-month low of $38.5K:

These two phenomena are intimately linked anyway.