The Crypto Queen (still) is overwhelmed. It leads, as always, the rest of the market in its movement. Despite losing trillions of dollars in the crash, the show delighted critics. Ironically, the position also boosts a number of followers.
overwhelming. Bitcoin price hit the floor on Thursday at $25,500, a level not seen since December 2020. The most popular cryptocurrency is on the rise. One BTC is trading at the time of this writing for $29,260 (-4% in 24 hours). It’s hard to find a token threshold of $30,000.
This fall, its digital cousins blushed. Ethereum’s ETH is losing nearly 10%, and SOL appears in the Solana blockchain -13%. It looks like a bloodbath. Borrowing is not excessive, sums of money into the trillions are already disappearing. This is for several days. Clearly, the Terra (UST) stablecoin debacle has not helped.
But this bitcoin slump was accompanied by a tsunami of comments, hundreds of thousands of tweets flooding Twitter and the e-commerce café, sparking #CryptocrashThe #cryptowinter (Referring to the winter of 2018 that threw a stinging response to novice crypto investors), capitulation (that other concept from the crypto space where everyone retreats away from virtual tokens). The mainstream media is throwing oil on the fire, the so-called “first real market crash”. In France in 24 hours there were 320 thousand tweets about it.
And around this improvised pile, the detractors began to dance, sing and praise the death of cryptocurrency…
Effective value of bitcoin is 0.
This well-placed implementation of digital assets has attracted beautiful people. Thus, the famous mathematician Nassim Taleb pulled out of his chest a scientific article he had published last year insisting that bitcoin would be worth nothing.
In what he called his “black paper,” he applied methods of quantitative analysis (a branch of statistics that is supposed to model the probabilities of the behavior of markets and financial products) to cryptocurrency pioneers to come to the conclusion that bitcoin is useless. He repeated, “It is not a currency, it is not a store of value, it is not a hedge against inflation, it is not a bulwark against tyranny, and it is not even decentralized.”
At the time, the results of his accounts had already earned Nassim Taleb 14,000 offensive tweets and emails. Quantitative proof relied upon to confirm that Bitcoin is a magnet for psychopathsIt brings together all the conspiracy theorists, Covid deniers, deniers, climate skeptics and, unfortunately, Putin supporters. An intervention full of nuances… that overshadows its statistical approach.
Reign of fear?
In the face of anti-crypto factions taking advantage of disastrous market conditions to make some reforms, the pro-crypto factions mechanically rose up. A kind of online religious war, pitting clever skeptics, cheering the dangers of rampant speculation and financial crime, against the flock of hopefuls for a crypto-paradise.
And so other inspiring observers have shared a behavioral reading of the cryptocurrency crash. The degree of risk aversion is said to have reached the breaking point for the majority of holders of Bitcoin and other digital tokens.
” Just like religion, the cryptocurrency markets are challenging the creed of its adherents, and the vast majority have had enough. Most of them will not simply sacrifice what little savings they have left on the altar of cryptocurrency. Can you blame them? Who can bear to witness losses of more than 50% and not just sit there and do nothing? ‘, a psychoanalyst by Richard Turrin, bestselling author of non cash “.
The atmosphere is still worrying, if we are to believe the famous pointer Fear and greed. This barometer of BTC & Co investors is recording the longest streak of the year in the red, after it failed for five weeks to extricate itself from a state of “extreme fear.”
Who believes in the end? No one has deciphered the cryptocurrency price dynamics yet. Even if the counters are crazy and even the man on the street is worried about “Bitcoin liquidation volumes,” some market participants will make the crash a record event on the scale of emerging classic exchanges. The ’emerging’ crypto market lacks experienced investors.
decent, ” Bitcoin price doesn’t matter ‘ pleads appropriately Bitcoin Magazine. ” What really matters is the presentation of the value of Bitcoin as truly unconquerable and decentralized money. Not the noise In other words, the current purging will be beneficial for cryptocurrencies. Speculators jump in, and the base price of BTC reflects its true function. And so on for other cryptocurrencies.
The present tremors come from the elements.” External speculation and technical elements that, although part of the game, do not question its basics ”, The successful crypto entrepreneur Eric Larchivik. The co-founder of French wallet giant Ledger and crypto bank said he is very confident and recommended two hashtags to keep his bitcoins (HODL) and continue to develop the network (BUIDL).
It seems that many crypto veterans are keeping their cool, such as Charles Hoskinson, a former Ethereum programmer and founder of the Cardano blockchain for smart contracts. ” The situation will become clear when you touch the bottom. It will entail a long climb “,” Philosophize on Twitter and offer to listen to the song ” chaos ladder » Taken from the soundtrack of game of thrones.
“ It is very difficult to make instant history. (…) But one may wonder whether every major disaster from “cryptosphere” It intervenes when it empowers itself mentally and philosophically, or when it begins to imitate finance, which it deplores ’,” Jacques Favier, a French blockchain specialist and author of the book in particular, raised Bitcoin transformation.