The results of the report presented by the employees of the analytical company Santiment indicate that the bearish trend will dominate the cryptocurrency market for a long time.

Santiment experts have recorded a significant drop in digital asset trading volumes compared to the February peak, when traders were buying coins en masse at the bottom. Due to the downward trend observed over the past two weeks, many virtual currency traders have become despondent and have lost hope for a brighter future.

Change in digital asset trading volume

When trading volume in leading cryptocurrencies consistently declines even during a small correction (which we saw on Wednesday), it usually indicates a loss of enthusiasm among traders.

They are acting cautiously and may not believe that the upward trend will continue. The lull reflects the uncertainty of traders who doubt that buying cryptocurrencies at current prices will bring profit, - Santiment employees concluded.

According to experts, there is not enough fuel for a powerful upward movement, because market participants are in no hurry to buy coins. Without the activation of buyers, the growth of the Bitcoin and other digital assets will be small, and the short-term bullish trend will be replaced by a bearish one.

A further decline in cryptocurrency turnover will lead to prolonged stagnation, which will cause a gradual decline in the BTC rate. Other digital assets that do not have such a high level of capitalization may become cheaper and break new lows. But this is not a reason to despair. As one of the commentators on the Santiment publication noted, capitulation is the best time to buy cryptocurrencies.