No major moves on the Bitcoin price horizon which is disappointing news for all crypto investors. Bitcoin is stuck in the mid-$16,000 range, and that can be a good and bad thing. Bad, because we haven’t seen any positive developments, and good because Bitcoin is shunning volatility. There are mixed feelings regarding the crypto market right now, and with doubts spreading about the future of the Grayscale Bitcoin Trust fund, many are wary of their investments. Bitcoin billionaires are also to blame, moving money out of the market when they should be holding.
Grayscale’s ex-CEO Barry Silbert has released a letter to DCG shareholders a few days ago and shared it on social media, trying to bolster up morale. It’s the thing we all need in these dark days for crypto, and it’s a good thing that Bitcoin doesn’t let up in terms of falling prices.
Sentiments are Bad, but Fundamentals Remain Unchanged
In the wake of the FTX debacle, the crypto sentiment was never so bad. But, according to popular crypto commentator William Clemente, it shouldn’t be confused with Bitcoin’s underlying strength. With so many uncertainty and depression in the world, bitcoin’s fundamentals have remained unchanged. He said that he’s posting his thoughts on social networks now and revisiting them later when things change. Clemente is one of those with a positive mind about the situation, believing that the tide will turn in the period ahead.
The lowest point in the previous days was $15,649, which is the lowest price since November 2020. That’s a crash of over 21% from November 5, right before word about FTX’s demise got out. That crypto exchange crash was a catalyst for mounting problems in the crypto market which have already taken its tolls on their price. FTX’s demise has also drawn in several high-profile celebrities who have been ensnared in lawsuits for promoting the exchange, and that puts extra pressure on the cryptocurrency market.
And that has brought other problems such as crypto broker Genesis considering bankruptcy. After hearing the news about FTX, users have been withdrawing cryptocurrencies like crazy trying to save their investment, which may put an end to the popular crypto broker.
On the Ropes
Historically, Bitcoin has never responded well to regulatory pressures. That’s what’s happening right now as US regulators are tightening the grip on the digital asset market due to FTX’s shutdown. Many have been throwing around the word dead around crypto platforms in the past few months, but according to the Crypto Fear & Greed Index, things are not so grim. There’s still room for the price to fall, which means it hasn’t bottomed out.
Any consequent price boost has followed after a bottomed out market. There are still believers who think that Bitcoin’s price will rise again, even if it takes a few years. It just needs a push in the right direction, and with the world possibly starting to consolidate next year, things should turn for the better. Bitcoin may be following in traditional finance’s bad steps now, but when things start pushing up, the price will rise again.