We’ve got to put this all into perspective when people come panicking and asking if you’ve sold all of your Bitcoin. Just hold, the chart isn’t a lot different than a lot of stocks or commodities. Let’s speak in terms of the chart since May of 2016.
Let’s first look back to May 2016 where it was worth about $423 USD. Is today’s $6974.84 USD so bad?
How about April 20, 2017 whereit was worth $1216 is that so bad compared to today?
The time that makes people nervous is when Bitcoin went on a bullrun around November 1st, 2017 and was worth around $6700 USD to an all time high of around $19500 on December 16th. I would expect like with any stock that there will be a digestion period or a pullback.
Am I worried yet? No, unless Bitcoin drops below a year ago’s $1000 why would anyone worry?
Bitcoin on top of that now owns about 50% of the market with this drop so it has shown resiliency and leadership.
It’s not time to panic, it is time to hold steady and wait for the next bull run. At the end of the day government policy can’t stop Bitcoin. There will always be a country where it is legal and exchangeable. If a blanket ban happens people will start trading directly with Bitcoin for other goods. There’s no way people who have invested thousands of dollars in hardware and power will be throwing these coins away or walking away from them.
There is no doubt 2018 has been an incredibly tumultuous start for cryptocurrency. But I’ll say it again, there are still huge gains for the majority of people unless they bought at the end of 2017. There are still valid reasons to be both bearish and bullish, depending on which segment of cryptocurrency you are talking about.
I think first we should think what is really driving down the pricing? People were buying in like crazy and prices were going sky high for both Bitcoin and Altcoins. I’ve always had reservations about particular currencies and ICOs but the majority did not.
My belief is that there is a concerted world-wide effort by government and finance moguls to dethrone cryptocurrency. Governments hate it because it threatens the entire central banking system, and bankers hate it for the same reason. Yes there are some issues with ICOs but there are also stock market scams to this very day. Fiat is also used illegally and counterfeited all the time and it never got banned.
So with that, I propose that statements from governments and banks are akin to all out war on cryptocurrency. In 2018 we are seeing that plan move into action as they panicked as they saw the market cap grow exponentially in 2017.
However, much like Gold or Silver, it can only be kept down for so long. You can push them down under the water but they come floating and rushing back to the top. I think that is what will happen with cryptocurrency in the near-time.
Now don’t get me wrong, there are real issues and risks and I’ve talked about those endlessly. The winners will be the ones who embrace change and understand the basics of business and IT security have been breached with most cryptocurrencies and ICOs. The ones who solve these problems and the ones who invest in the solutions will be the long-term winners. I dare say any project and investor who doesn’t take part in the solution may be on the dot-bomb side (an era which I feel many have never known or forgotten).
There is a lot of FUD but is artificially manipulated and perpetuated in the media and also directly with attacks on the price through large whale investors/hedgefund managers selling and controlling the price of cryptocurrency.
I am bullish on crypto still because there are a lot of astute and average investors who have not jumped in. Eventually they will jump in, and the moment they do is when cryptocurrency will enter a stratospheric increase in market cap. I also feel the ones who wait will be more diligent and disciplined investors (the kind who didn’t panic during 2008).
Time will tell but my call is for the bulls!