The end of bitcoin and other crypto-assets? Most crypto-bros don’t want to believe it and are still looking for a way to make a ticket despite the crisis.
At the end of June 2022, the crypto-sphere took on the appearance of a Titanic: bitcoin had lost two-thirds of its value, stable corners are plunging (USDT, Luna and Terra) and Solana is starting to run out of liquidity. between the strategy Buy the Dip and ETFs of shorts BTC, there is still hope for many investors.
A situation comparable to the dotcom bubble
One would have to be armed with a certain amount of bad faith to say that all is well for crypto traders. While bitcoin experienced its record value of $68,000 in November 2021, it fell below 20,000 euros two weeks ago. All of the coins have followed this trend, and the market that was worth $3 trillion is reduced to $700 billion in market capitalization at present.
For industry veterans, these are all very familiar giddy feelings, as bitcoin has seen several bearish phases since 2011. space of a few weeks.
Except that at present, many external elements are added to this fall, because crypto-currencies now follow the stock market and are impacted by various factors, such as the price of oil, the crisis in Ukraine and inflation. rampant worldwide. More than ever, the price of cryptos is anchored in a gloomy economic reality, which recalls the financial bubble of the 2000s with internet stocks.
Buy the Dip, shorts on bitcoin: strategies to get by
In the midst of this slump, there would be several methods to stop the bleeding. The Solana blockchain has also voted for the temporary control of an account belonging to a whale, in order to prevent it from liquidating its 20 million euros in storage. Other blockchains follow this process with the sole objective of not sinking in the coming weeks.
Still others will opt for the shorts bitcoin, i.e. betting on the manifest fall of the famous crypto in order to profit from it. Financial products such as bitcoin ETFs have been launched in the US in this opportunistic context.
For the crowd of small investors, we therefore distinguish between those who withdraw from the game and those who “have seen others”. The holders will therefore keep all of their crypto-assets and the reckless will buy BTC at a low price (Buy The Dip) to hope for a rise in the coming months or even years. Binance CEO Changpeng Zhao himself predicted that the price of bitcoin would not recover until the year 2026.
On the same subject :
Whales, bear market, bull market: what do these crypto market terms mean?
Source : The Next Web
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