The cryptocurrency market had a very tough week, after large falls in most of the assets. The outlook for the short-term market is quite uncertain and the Fed could determine its direction.

‌ The cryptocurrency market had a significant fall these first days of the year, after a lateralization which generated a lot of speculation among investors, as some expected that the corrections would lead to a new bullish rally, driven by the high levels of inflation. However, reports from the FED have indicated that we can expect cuts in the issuance of dollars, which will reduce liquidity in the market and therefore a rather uncertain future is seen in terms of cryptocurrencies, since this could cause prolonged bearish movements. Bitcoin is near an important level just above $40,000 after the sharp declines generated between January 4-7. One of the main factors that would have driven this strong negative movement would have been the slowdown in mining in the Asian country of Kazakhstan, after several violent protests and political problems, which generated problems in internet services and therefore saw reflected in the mining process, since much of the processing power of the Bitcoin network is concentrated in this country. It should be noted that a large part of the altcoins followed in the footsteps of BTC, having a rather complicated week. In other news, Solana, the one known as the “Ethereum Killer”, was the victim of an alleged DDoS attack, which triggered a failure in one of the fastest growing blockchain networks in the last year, falling by several hours at dawn last Tuesday. It should be noted that this is the third time that the project has faced a decline in recent months, which is why it begins to generate uncertainty and speculation among investors.‌ On the other side, ChainLink has been the big winner this week, having steady growth and being one of the most popular cryptocurrencies on social media. The Chainlink ecosystem started the year with more than 1,000 projects and a large number of interactions generated in 2021, so it is expected to continue with that exponential growth that could lead it to be one of the most interesting projects in the crypto world. Bitcoin is above $40,000 in one of the most important supports for the largest cryptocurrency in the world. Price behavior in this area will define the asset’s short-term future. BTC/USDT 1D (TradingView Chart). For its part, Chainlink is generating a pullback after a very positive week, trading near $26. We can see a very interesting support level, which could help the asset to continue on its bullish trend. LINK/USDT 1D (TradingView Chart). Without a doubt, we are in a stage of considerable uncertainty in the cryptocurrency market, in which economic decisions will be decisive for what is coming in 2022 for digital assets. Without further ado, we wish you an amazing week.