The global crypto economy is currently wallowing deep in uncertainties and unexpected turn of events as the world’s richest man suddenly abandons the landmark Bitcoin for Dogecoin.
As expected, this event has caused a reversal of the crypto market movement, which makes experts harbor the opinion of BTC further falling.
As if this isn’t enough, Crypto billionaire and former Executive of Goldman Sachs, Mike Novogratz, just lent his voice in support of the widespread feasibility that there could be more series of “pain ahead” as regards the unstable Bitcoin market price.
How Long Will Bitcoin Price Movement Be Unstable?
Mike Novogratz took his time to explain that he still has a glitter of hope that the price of BTC which is the world’s largest digital asset can never go below the scale of $42,000.
He said he’s neither worried nor concerned about the unstable bitcoin prices in the medium-term term sense. Also, the fact that there are heavy trades and investments with people selling their assets on these last days of the year serves as a security check.
As at the moment of pulling this news together, Bitcoin which trades at $47,912 is now down by 30% from the record-breaking climax of $69,000. This is all traceable to the decline in the efforts of governments and their agencies to stimulate and strengthen cryptocurrency operations.
Meanwhile, Mike Novogratz has always been a strong advocate for Bitcoin and cryptocurrency as a whole. In what looks like his prediction for the next year, Novogratz says he expects the year 2022 to be the year of Decentralized Finance.
Through that, financial transactions will be easily activated and concluded with no aid from an intermediary or middleman.
With the government stepping into the stage to introduce several laws and regulations to control the crypto marketplace like the popular Know Your Customer (KYC), Decentralized Finance could not stretch its wings as it had originally anticipated.
All these events now lead to the cumulative effect of making the Bitcoin movement unstable and it is affecting its volatility. Hopefully, the year 2022 will be the new dawn that the global digital market is patiently waiting for.
The CEO of Galaxy Digital further maintains that his optimism remains intact on Bitcoin over the long term irrespective of the dip below $30,000.
On Tuesday, Bitcoin dipped over 50% from its all-time peak earlier this year in April. This is, however, not the first time that the cryptocurrency has experienced declines of such magnitude. It once hit an alarming record very close to $20,000 back in December 2017 and then went down the scale with a loss of over 80% of its valuation. This makes its value come down deep to $3,500 per token.
Above all, Novogratz maintains that once Bitcoin price movement comes back on track, he doesn’t see a decrease this wide happening anytime soon again.
He feels the set of traders and investors making their way into the crypto marketplace has accumulated enough knowledge to stand through the storms. They’re much more grounded. Banks are also not left out as they’re all working on how they can make BTC accessible to their customers.