There are various reasons behind the panic currently gripping the crypto world – increased regulations, hacking, and crackdown by various governments. Additionally, the last leg of the rally looked frothy as traders gobbled up cryptocurrencies at crazy levels out of fear of missing out on the rally.
But when the mainstream media highlights negative news, investor sentiment is affected and some traders panic and dump their positions out of fear of losing their capital.
Some analysts believe that the bubble in cryptocurrencies has burst, while the others believe that the current fall is a great long-term buying opportunity.
We consider the recent fall as a great buying opportunity. However, all cryptocurrencies will not rise equally from their current levels, as markets will start distinguishing between different cryptocurrencies.
Therefore, we should look to buy stronger currencies that have fallen less and are bouncing off sharply from their key support levels.
Let’s explore which cryptocurrencies are showing signs of a pullback.