Bitcoin has reached a new low again in the last few hours. On top of that, the total market cap of cryptocurrencies fell towards USD 1.6 Trillion or around -20%. Major cryptocurrencies continued to lose ground and are now just around their respective support areas. In November, many investors were still hoping for a Bitcoin price of $100,000. Is 2022 a Crypto Bear Market Year?

Bitcoin, the biggest crypto by market cap, has dipped below $36,000 in the past few hours. The crash followed a brief "fakeout" in which the price surged above $43,000 but dropped back down to $41,000 extremely quickly. This shows that investors are still unsure of the market direction, and traders are rather holding the horses. 

The strong psychological support of BTC at $41,000 collapsed and prices fell below the $40,000 mark for the first time in months. As a result, the price temporarily fell below $36,000, which was the lowest Bitcoin price since late July, the bottom of the major spring correction. All cryptos followed the same course of action, and all cryptos lost an average of 20% in the past few days.

On the other hand, the equity market also suffered a lot. Many hedge fund managers started reassessing their portfolios. Anticipation of a lower market is expected, as the uptrend was extended for more than 1 year now. Additionally, looking at the previous market trend of both cryptos and equities, we can see that an adjustment was overdue.

In the last few weeks, there was still hope that the Bitcoin crashes could only be a medium-term correction and that the price could become bullish again in the first quarter of 2022. But the high number of drops to below $40,000 raise doubts as to whether 2022 could not be dominated by a Bitcoin bear market after all. When Bitcoin moves, the entire crypto market moves as well. This bear market trend could be attributed to the entire crypto market as well.

Now is an ideal point to get in cheaply. Buy bitcoin on crypto exchanges  Binance ,  Coinbase ,  Kraken  and  Bitfinex !

The hopes were based on the fact that the current all-time high of $68,000 is very unlikely to be the peak of a bull market, given the major bull markets of 2013 and 2017. But now it looks like we could actually enter a Bitcoin bear market.

Historically, a long-term bear market has meant an 80% drop from Bitcoin Peak in the previous bull market. At the moment we are not even at 50%. As such, there is still hope that the long-term bullish cycle is still in place, but has only greatly lengthened in 2021 and 2022.

Accordingly, we would not experience a “real” crypto bear market in 2022, but only a severe price correction. However, with the latest developments on the market, it is becoming increasingly unlikely that Bitcoin will reach new all-time highs in the first quarter of 2022, as we thought possible 1-2 months ago.

You can now buy Bitcoin cheaply on the crypto exchanges  Binance ,  Coinbase ,  Kraken  and  Bitfinex  .

Many cryptocurrencies have greatly appreciated in value in 2021. But a massive gain in value in a bull market also carries the risk that the value can quickly fall massively again if the expectations fall short. Let's talk about 3 cryptos, with whom you should be particularly careful.

Solana was an extremely impressive phenomenon in the fall. The network impressed numerous investors with its high transaction speeds and excellent scalability. So Solana also depended on the original "Ethereum killer" Cardano. Even if the network crashed in mid-September, investors did not get discouraged.

However, in 2022, Solana could be one of the cryptocurrencies that do not live up to its hype and will lose a lot of its value. The hype about Solana was reminiscent of the same about IOTA at the end of 2017. IOTA also promised to turn the crypto market inside out with revolutionary blockchain technology. However, expectations did not meet there either. Solana is built on a lot of hype and the competition for Cardano and Avalanche never sleeps.

Meme Coins are always cryptocurrencies that are particularly volatile. The insane price increases in recent months were based on numerous campaigns via social media influencers, support from powerhouses like Elon Musk, and a certain amount of independence for a dog meme.

Of course, like the Dogecoin, Shiba Inu now has a use and the DOGE example shows that meme coins can also stay at the top in the long term. Nevertheless, it is important to be very careful after such hype. A massive drop in Shiba's price would not be uncommon in a bear market. 

Axie Infinity is now played by millions of people around the world. Blockchain-based gaming and battling games are even considered a serious source of income for numerous people in developing countries. The extreme growth in the user base and the hype surrounding the metaverse made the value of the token skyrocket.

Cryptocurrencies that play a certain hype topic (decentralized gaming and NFTs) threaten to lose value again and again as the hype subsides. The sheer number of players (2.5 million in the last 30 days) speak against it. If trends change in the long term, there are more broadly adapted solutions on the market. A sharp drop in price in the next year is quite conceivable.

Do you love the risk and still want to purchase these cryptos? This is possible on the following exchanges:  Binance,  Coinbase,  Kraken, and Bitfinex.