Since November 2021, the price of the AMP cryptocurrency has been in a prolonged downward trend falling by over 90 per cent during that period, with most of the decline occurring this year. This negative trend is expected to continue into December, with the cryptocurrency already down by a percentage point and data indicating a high likelihood of a continued bearish trend. The AMP project has been one of the hardest hit by the overall downturn in the cryptocurrency market.
As seen from the above price action analysis, AMP has been among the most affected crypto project by the current downturn of the cryptocurrency industry. Unfortunately, there is a high likelihood that we might continue to see the current downward trend of AMP continuing for the long term.
One of the reasons for this analysis is the current bear market of the cryptocurrency industry. With AMP altcoin being significantly correlated with the industry, I expect future crypto industry drop to also drag the AMP price down.
Secondly, following the collapse of the FTX crypto exchanges that resulted in AMP closing November with a price drop of 26 per cent, there has not been any significant news or fundamental factors indicating AMP price may return to its pre-FTX levels. Therefore, investors looking at the crypto and its current price action are likely to stay away from the project as they don’t see any prospects of the project recovering based on publicly available information.
Its bearish consistency for more than a year is also likely to put most investors away from considering adding the project to their cryptocurrency portfolios. Therefore, this might contribute to lower trading volumes in the coming sessions or weeks, which further indicates a high likelihood that we might not see the project recovering in the long term.
This post was last modified on Dec 06, 2022, 11:14 GMT 11:14