Bitcoin (BTC) It is a volatile cryptocurrency, not suitable for investors with a low tolerance for risk. Along its history, the digital currency created by Satoshi Nakamoto had a similar behavior to a roller coaster: it brought its users extraordinary income, but it also caused them considerable losses.
There are several examples of these behaviors: those who added BTC at the beginning of the pandemic (at values below $10,000 per unit) and disarmed positions when it was at its peak $68,500they made a round deal.
Quite the opposite happened with those who joined the BTC wave last year and sold their tokens in the middle of the crypto winter or made “hot” decisions, scared by crises such as the fall of the Terra Labs ecosystem (and their digital currencies LUNA and TerraUSD). either the debacle that caused the collapse of the crypto giant FTXepisodes that led Bitcoin and company to lose more than 20% average of its value in a few hours.
Faced with this turbulent panorama, many people who have pesos available wonder if it is an interesting opportunity to acquire cryptocurrencies at auction prices or it is better to bet on other less risky alternatives.
Is it business to invest in Bitcoin in the middle of a crisis?
When the slate of an asset shows red numbers, many see an opportunity to enter at a “reduced” price or increase their holdings. But it is also a big risk, because it is very difficult to predict when the negative trend may change.
This is highlighted by Federico Goldberg, CEO of Tienda Crypto, who emphasizes iProfessional you need to have the crystal ball to make a prediction: “What we are seeing is that it has been behaving lately like the traditional market.”
Bitcoin reached close to $70,000, but collapsed to a price close to $16,000
in dialogue with iProfessional, Economist Joel Lupieri explains that the precipitous fall in cryptocurrencies is beginning to look more and more like the bursting of a bubble.
“The market’s own internal inconsistencies are leading to a mass stampede from investors,” observes Lupieri, and adds that the dynamics are daunting: “to the constant and progressive rise in the world interest rate, is added a process of concentration in terms of crypto projects”.
Given this worrying context, the economist adds that “a priori, it seems that the trend points to the survival of cryptocurrencies that have better prospects in terms of liquidity, solvency, security and issuance.”
On the contrary, those tokens that are “touched” can lose almost half of their value in a few hours (as happened with Solana that fell in one day from u$s23.28 to u$s13.55)
The same logic seems to apply to the exchanges, where the most important players seem to be swallowing up, dragging investor sentiment even lower”, adds Lupieri.
Given this scenario, the economist warns iProfessional what It does not seem to be the right time to buy Bitcoinsince the bleeding does not appear to have stopped.
“As well, the reasons that are probably motivating her did not disappear either. On certain occasions it may be that buying cheap, in the midst of a crisis, ends up being a good deal. But it is not, not by chance, a general rule. What is perceived cheap today, can be very expensive tomorrow. It all depends on the fundamentals of the investment,” explains the economist.
Bitcoin lost more than 10% of its price on “Black Wednesday”
For those who want to take the risk: what can happen with Bitcoin in the future
in dialogue with iProfessional, The cryptocurrency expert Camilo Rodríguez, founder of CR Academia, explains that from the technical analysis he observes that the market is marking a new floor in these prices.
“Many users sought to add BTC to their portfolios when it descended into the orbit of the $17,260. From here I see more lateralization. But since the market has been lateralizing for several months, the value of Bitcoin may fall a little more, because the market seeks to reevaluate its floor”, explains the expert.
In addition, Rodríguez maintains that at this time BTC reached minimums, “and as long as it remains above the $17,500the next numbers to look for in the long term are the areas of $20,000, $22,500, $24,800 and $30,000.
“Surely we will have a fairly long lateralization, until we obtain higher numbers. The market will take time to recover, but this does not mean that bullish and bearish cycles cease to exist. It will only slow down the processes,” she warns.
“I see an upward trend for the coming months, but if BTC remains below $17,000 for the week, we could be facing a much more abrupt drop, close to $12,000,” Rodriguez concludes.
