🔥Hi friends! Today I have prepared an article for you about perhaps the most highly anticipated event of 2022. This applies to any market, but more so to cryptocurrencies. We will talk about 🎅Santa Rally.
đź“Š WHAT IS A SANTA RALLYâť“ Santa Rally is a period in the market of cryptocurrencies, stocks and indexes before and a little after the New Year holidays ( mid-November to mid-January). This term came to the cryptocurrency market from the stock market. Now stocks show more strength than cryptocurrencies and have already started their growth and a small but "Santa Rally".
📊 WHY IS THE SANTA RALLY HAPPENING❓WHAT MAKES CRYPTO, STOCKS, INDIXES GROW IN THIS PERIOD❓ Usually, the 4th quarter (the last quarter of the year) is a period of big holidays, which means an increase in the number of sales in most companies in almost all sectors of the economy. Many people buy gifts, new equipment, etc. The growth of company profits triggers the growth of companies' stocks.

 Also, a certain number of people want to invest in any asset with the belief in its further growth next year. This is not a strong, but an additional factor why crypto and stocks are growing.
Bitcoin quarterly returns(%). Bitcoin Q4 return marked in red. Additionally, I marker the Q1 in white to show you what happen to BTC after Santa Rally🎅
📊 WHAT HAPPENS IN THE CRYPTOCURRENCY MARKET DURING SANTA RALLY🎅❓ There are 5 cases on the chart from 2017 to 2021 and 80% of them are quite successful. 🔥2017: the end of the bull market, real Santa Rally🎅 I think that's when most of you knew about the cryptocurrency market. I hope that this is when you were selling crypto, not buying. 🔥2018: the end of the bearish market, the beginning of the bull market. Consolidation of Bitcoin and volatility +-20%. We see something similar to that situation now. After that, there was another consolidation, after which Bitcoin rose to 14 k. 🔥2019: the consolidation again before the local growth. A good entry point to spot positions, a strong level of support. After that, Bitcoin grew from 6k to 9k by 50% in just 1.5 months. What happened after this growth is already history. 🔥2020: a great example of a Santa Rally🎅 December 2020 fell just in the middle of the bull market, when the price rose from 20k to 33-35k in just a few weeks. 🔥2021: also a consolidation, but this example is quite unusual for a Santa Rally. Usually, after consolidation, Bitcoin grew, at least locally.
✅ As you can see from the examples, the Santa Rally🎅 period was quite successful from 2017 to 2020. In December, there was always either consolidation before growth or strong growth itself. And only in 2021 there was a consolidation before the fall, not before the growth.
This shows how much the cycle has "deviated from it's course". Most likely, that December should have ended with the final growth, but the problems with the economy in the United States, the strengthening of the dollar and other more minor problems did not allow Bitcoin to do it.


📊 WHAT WILL BE THE SANTA RALLY🎅 IN 2022❓ Bitcoin spent 3 out of 5 cases in consolidation, and in the other 2 cases showed strong growth. This means that in high probability, consolidation is the most likely option. Fortunately, there was no big drop in December.
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Friends, in this idea you have learned what the Santa Rally is, why it happens. Now you know with a high probability what will happen now in 2022, so you can already make your trading plans.
Traders, was this article useful? What is your opinion about Bitcoin at the Santa Rally🎅 in 2022? It would be interesting to know the thoughts and expectations of my subscribers!
💻Friends, press the "boost"🚀 button, write comments and share with your friends - it will be the best THANK YOU.
P.S. Personally, I open an entry if the price shows it according to my strategy. Always do your analysis before making a trade
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