2018-9-12 22:39 |
The current bearish market trend in the cryptocurrency industry has left many enthusiasts pondering how long this plummeting will continue, or if the markets will ever pick up again. To make matters worse, some experts are alleging that Bitcoin is on its deathbed, and the recent drastic decline in the coin’s value seems to affirm this belief.
Typically, the crypto space always has a flurry of speculations fronted by self-acclaimed pundits, regardless of whether the markets are flourishing or declining. When the market was undergoing a bullish trend, these speculators hyped up cryptocurrencies as the greatest discovery of modern times. Now that the markets are bearish, the same people have started spewing negativities about Bitcoin and other digital currencies, saying that their days are numbered.
The negative speculation is contributing significantly to the bearish trends, as many investors are being discouraged from investing in crypto assets. Volatility is a typical characteristic of the digital currency sector. Therefore, long-term investors should not have concerns over it because blockchain technology is still in its nascent stages and will eventually become mainstream.
To put this into perspective, many companies that invested in blockchain solution have not given up on them: in fact, they are thriving at an encouraging pace.
Long-term investors should realize that the current lows are an opportunity to grab digital assets at an affordable price. As the markets mature and blockchain technology stabilizes, the prices of digital assets will soar by a substantial margin. When that time comes, these investors can sell their assets at huge profits. However, it is advisable to invest what you can afford to lose, since crypto investments are similar to gambling.
Investors who spent their savings on cryptocurrencies are the ones that are currently sulking at the markets because they hoped to become millionaires within an incredibly short period. Instead, the volatility and immaturity of the markets made away with their hard-earned money.
It is worth noting that institutional investors will not pump in colossal amounts of money into the crypto markets until the prices sink low enough. That being said, if the money is invested, the prices will go up once again. Nonetheless, companies have not indicated any intentions of abandoning cryptos and blockchain technology. Rather, most of these enterprises have set their eyes on the future when the technology matures. This patience is in itself a sufficient proof that crypto assets are still deemed as a viable investment.
As of now, it is the short-term investors who perceived crypto investments as a shortcut to riches that are losing their money. On the other hand, long-term investors who believe in the potential of blockchain technology are confident in the eventual profitability of their investments.
In due course, Bitcoin and other altcoins will join to form a single digital currency that is universally accepted as an exchange medium and is free of bureaucratic control.
Although this might take time, it is definitely worth waiting for because the value of the coins will have increased by a margin that is currently inconceivable.
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