Hello guys! I'm really curious about what will the recession do to bitcoin?
We have seen increasing prices for vital stuff, such as food, beverages and other vital stuff.
While bitcoin is a wonderful asset, is not really a necessity, so the common folks probably won't bother with crypto during a financial crisis, but how about institutional investors and wealthy folks?
Do you think they will find bitcoin a safe haven for their profits or invest in stocks of companies that do well during recessions?
I'm curious about your thoughts
An asset that much volatile like bitcoin, can never be considered as a safe heaven! So you can strike out that possibility, at least during this uncertain times! However, people with deep pocket and liquid savings in hand, may consider investing in bitcoin and other stocks because the market is suffering a huge downturn. Majority of the stocks are being traded at the optimum low level, so it is the best time to enter a traditional stock market with short/medium term outlook. I personally have bought a good amount of stocks during this time because I saw them trading at 1/3rd of their actual price!
But again, it is also possible that people with good risk appetite may enter the crypto market during this uncertain time because we have stimulus waiting to happen - the upcoming halving. The current scenario is really confusing at this moment and anything can happen! It's very hard to determine the psychology of individual and institutional investors!
