Investors in cryptocurrencies with large investment positions are at a significant loss, the sale is happening on all fronts, and those willing to take risks and with faith in the future are only now starting to buy.
The great “redness” in cryptocurrency exchanges continues. At the beginning of the week, the price of bitcoin broke, down, the limit of $33.000, which marked a decline in its value of 50% compared to its previous peak. After that, bitcoin sank another 20 percent, to be traded at levels below 28,000 27,500 27,000 US dollars at the time of writing.
The price drop on a weekly basis is now more than 30% – and that’s even better if you look at other cryptocurrencies.
Sale on all sides
Ethereum has fallen by over 35%, while altcoins like salt, XRP, Dogecoin, and Cardan have also lost about 50% in the last week. The flood was also experienced by stablecoins, those whose value should be stable and closely linked to the dollar. Thus, one of the larger ones, TerraUSD, could be bought for only 30 cents, and the dollar “anchor” gave way to Tether, which fell by almost 3% below the value of one US dollar.
Bitcoin Fear and Greed Index is 12 – Extreme Fear
Current price: $29,138 pic.twitter.com/C4idj1L1mW
— Bitcoin Fear and Greed Index (@BitcoinFear) May 12, 2022
As always in situations like this, they can be viewed in two ways. Skeptics who never believed in cryptocurrencies will now rejoice and claim that this was quite expected. Others, more risk-averse and with a belief in recovery, will now exploit and thicken their portfolio with cheap cryptocurrencies…
The market is currently in an area of high fear and risk, and those who buy then tend to make the highest returns. Of course, if and when everything goes back to normal and cryptocurrency prices jump to previous levels.