Bitcoin has just broken $64k for the first time since 2021, and now everyone is talking about the same thing: is this the peak before the crash?
Crypto bubbles are nothing new. They basically work like this: a project gains hype → speculators enter FOMO → prices skyrocket → the media amplifies the noise → the peak arrives → someone sells and panic starts → brutal crash.
It has all the hallmarks of the 90s dot-com boom. Thousands of projects with no real value, prices disconnected from the fundamentals, influencers talking about astronomical profits. 2017 was like this: Bitcoin at $20k, then down to $3k. 2021 with NFTs: millions of dollars in jpegs, then almost to zero.
How to detect if a crash is coming?
Extreme volatility on days
Trading volume skyrocketed
Altcoins rising for no reason (sign of speculative bubble)
Sentiment indices at extremes
New people without experience betting it all
If you see red signals, what to do:
Reduce positions, do not HODL blindly
Use stop-loss to protect yourself
Don't let FOMO take over you
Think long term, not in quick profits
Read what is behind the project, not just the price
The reality: bubbles are part of the game in crypto. They can lead to profits… or ruin. The key is not to be foolish and to maintain discipline.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Are we in another crypto bubble? What you need to know
Bitcoin has just broken $64k for the first time since 2021, and now everyone is talking about the same thing: is this the peak before the crash?
Crypto bubbles are nothing new. They basically work like this: a project gains hype → speculators enter FOMO → prices skyrocket → the media amplifies the noise → the peak arrives → someone sells and panic starts → brutal crash.
It has all the hallmarks of the 90s dot-com boom. Thousands of projects with no real value, prices disconnected from the fundamentals, influencers talking about astronomical profits. 2017 was like this: Bitcoin at $20k, then down to $3k. 2021 with NFTs: millions of dollars in jpegs, then almost to zero.
How to detect if a crash is coming?
If you see red signals, what to do:
The reality: bubbles are part of the game in crypto. They can lead to profits… or ruin. The key is not to be foolish and to maintain discipline.