Bitcoin (BTC) begins December 2020 at levels close to $ 20,000 after having landed at the $ 16,000 level on November 26, 2020. HODlers hold their own as many traders tend to overreact to the slightest positive or negative statements about Bitcoin.
Spades in the wheels of Bitcoin
The CEO of Morgan Creek Personal-Financial.com, Mark Yusko, tweeted November 27, 2020, that investors were dictating the long-term value of Bitcoin, while speculators controlled its price in the short term.
Source : Image via Twitter
This tweet follows a series of negative headlines regarding Bitcoin. According to Yusko, the concern of financial institutions about the potential for disruption of Bitcoin was understandable.
Some are ready to use all the means at their disposal, in particular by setting up barriers, to slow down the adoption of Bitcoin and the innovation process that goes with it.
Established market players systematically look to governments to influence the adoption process, putting in place costly regulations. Yusko believes this to be a losing strategy in the long run.
And if we forgot the front page of the media
For now, short-term profit-seeking speculators will continue to influence the price of Bitcoin by reacting to the latest media headlines.
The seizure of cryptocurrencies by the China and forecasts of CEO of Coinbase, Brian Armstrong, on potentially damaging regulations for Bitcoin, undoubtedly contributed to a negative reversal of the price of the latter.
As for investors who HODl Bitcoin over the long term, their strategy is more likely to be successful as the fundamentals of Bitcoin reinforce each other.
Long-term gain comes with a paradigm shift in society’s understanding of money.
These HODLers appear to be holding their position without seeking to profit from the bullish rally in Bitcoin : 61% of the supply of Bitcoin hasn’t budged for over a year just before the Thanksgiving crash, while the BTC is going through one of the most profitable periods in its history.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.
Bitcoin is getting closer to $ 20,000 and has a chance of going above it this time around. How many HODlers will continue to hold their Bitcoin for 6-digit BTC? Decentralized media criticizing a decentralized system: no need to make a whole picture to understand.
Litecoin, welcome in the Silver Age