It is no longer news that Bitcoin (CRYPTO: BTC) plummeted and now steadies below $70,000, wiping off almost half of the crypto’s value since it reached an all-time high of $ 126,000 four months ago. The decline represents one of the largest drops in the asset’s value in recent days, the largest since the FTX collapse in November 2022, which resulted in forced liquidations of more than $2 billion.
For a long time, crypto enthusiasts have assured that Bitcoin will shine in any economy plagued by uncertainty. In contrast, Bitcoin is tanking along with tech stocks while other assets, such as gold is climbing to records above $5,100 an ounce. In the opinion of Matt Hougan, a key player in the crypto industry, could it be true that we are closer to the end than the beginning of the “digital gold”?
Optimism or Delusion
Michael Saylor, a Bitcoin whale, whose company holds the largest corporate Bitcoin treasury, remains undeterred. He recently declared he’d buy Bitcoin even if it dropped to one dollar, calling it a “swarm of cyber hornets serving the goddess of wisdom, feeding on the fire of truth.” Phong Le, Strategy’s Chief Executive Officer, attempted to soothe investors by pointing out that liquidations will not happen unless Bitcoin crashes and stays at $8,000 for five years.
Meanwhile, Cathie Wood has quietly …