What is the reason for the Bitcoin plunge? When can I buy the bottom? Where to trade?

This article provides links to download genuine APKs of Bitcoin trading platform in 2025, including Ouyi OKX, Binance, gate.io and BITGET. The article analyzes various reasons for the Bitcoin plunge, including macroeconomic factors (tightening monetary policy, concerns about recession), regulatory policy factors (strengthening regulatory restrictions, increasing compliance costs), and market own factors (market bubble bursting, mining difficulty and cost changes, hacker attacks and security incidents). Finally, the article emphasizes that the price trend of Bitcoin is difficult to predict and the timing of buying at the bottom is difficult to grasp. Investors need to make careful judgments based on various factors and do not blindly follow the trend.

2025 Bitcoin Trading Platform Genuine APK Links

• Ouyi okx
• Binance
• gate.io
• BITGET

Reasons for Bitcoin’s plunge

• Macroeconomic factors
  • Monetary policy tightening: When central banks of various countries adopt tight monetary policies such as interest rate hikes and curb supply, the cost of funds in the market increases and liquidity decreases. Investors tend to transfer funds from the high-risk Bitcoin market to traditional financial markets, such as bonds, deposits, etc., to obtain more stable returns, resulting in a decline in Bitcoin demand and a plummeting price.
  • Recession concerns: When the economy is facing recession risk, investors' risk appetite is greatly reduced, and they will prioritize selling of high-risk assets like Bitcoin to retain cash or allocate more defensive assets, such as gold, which will trigger a sharp drop in Bitcoin prices.
• Regulatory policy factors
  • Strengthen regulatory restrictions: Changes in regulatory attitudes and policies of governments towards Bitcoin and cryptocurrency markets have a huge impact on Bitcoin prices. If the government introduces strict regulatory policies, such as restricting transactions and prohibiting financial institutions from participating, it will undermine market confidence, lead to panic selling of investors and cause a plunge in Bitcoin prices.
  • Increased compliance costs: Increased regulatory requirements may put Bitcoin-related trading platforms and businesses at higher compliance costs. Some small platforms or businesses may withdraw from the market because they cannot afford it, which will reduce the liquidity and activity of the market, which in turn affects the price of Bitcoin.
• Market factors
  • Market bubble burst: The Bitcoin market sometimes experiences over-speculation, and the price is seriously overvalued, forming a bubble. When market sentiment reverses and investors realize the existence of a bubble, they will sell Bitcoin one after another, causing the price to fall rapidly and return to the reasonable value range.
  • Changes in mining difficulty and cost: The increase in Bitcoin mining difficulty or the increase in mining costs may cause some miners to stop mining and reduce the supply speed of Bitcoin. But if market demand does not increase accordingly, it may break the supply and demand balance and cause the price of Bitcoin to fall.
  • Hacker attacks and security incidents: Bitcoin trading platforms or storage packages are hacked, resulting in the stolen assets of a large number of users, which will cause the market to worry about the security of Bitcoin. In order to avoid asset losses, investors will choose to sell Bitcoin, resulting in a price plummeting.

About the timing of buying at the bottom

• The price trend of Bitcoin is difficult to predict: the Bitcoin market has high uncertainty and volatility, and is affected by a combination of various factors, and there is no fixed rule to follow. Technical analysis and fundamental analysis have limited role in predicting the bottom of Bitcoin price, and historical data cannot fully accurately reflect future trends.
• It is necessary to make a comprehensive judgment: Generally speaking, some investors will pay attention to whether the Bitcoin price has obvious stop-fall signals, such as the closing price stable in a certain range for many consecutive days, and the K-line pattern with a long lower shadow line appears. At the same time, it will also comprehensively determine whether it is possible to be the bottom based on multiple factors such as overall market sentiment, changes in the macroeconomic environment, policy trends, and the activity of the Bitcoin network. But even if these factors are considered comprehensively, it is not guaranteed that the bottom-buying will be successful.

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