Dip at the end of every calendar year:
I always observe this dip [mostly a minor one and sometimes a major crash] in cryptocurrency prices - especially BTC. Every end of the calendar year, during the final two weeks I notice a fall in prices. Common sense says that most markets slow down because people are on holidays, vacationing, cooped up indoors, not wanting to risk anything, so not much of trading is happening, even traditional stocks I guess. Does this make some traders just dump the coins to get out of a position so that they don't have to keep observing their terminals or is a stop-loss/auto-sell getting triggered?
I would understand if the price was floating or near-steady, but why the crash from 100.4k to 91k in a matter of few days?
What do you think?
I think you already made mention of the reason why this happens every end of the year, the crash in price of cryptocurrencies, majorly bitcoin which in turn, affects other crypto coins, the reason is simple, and it's common sense to know that during this time, like you have said, alot of people have travels to spend time with family, and catch up with old time friends, no body will be offline for two weeks or more and leave a position open, it's risky.
And on the other hand, some also take out part of their bitcoin and sell it to raise funds for expenses in the festive period, like I for example, sold some part of my bitcoin during the December period to get some money to handle the expenses of the festive and holiday season..
This is majorly the reasons why there is always some mild crash in prices of online assets during December as the year is preparing to end, but the good news is that the market after such mild crashes bounces back by January, like we are already seeing at the moment..
