I've been seeing a lot of people panicking due to this recent Bitcoin fluctuation, I even saw a friend's post, where he's saying "Bitcoin is finished" and saying "this is the end" all because Bitcoin price has fallen down from $126,000 to $95,500 but my problem is that, this is not the first time such a situation has happened. Bitcoin has always moved in waves, it will pump hard for a while and then it crashes hard. And it will later find it's balance again.
So, Why is Bitcoin dropping? .
Market Liquidity Is Tightening: the global market is very tight right now and when money is tight, crypto will definitely feel it first.
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Investor Sentiment Changes Quickly: any small regulatory news or bad headlines, investors start getting nervous and once fear enters the market, everybody will just start selling.
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Regulatory News and Global Events: any small news about regulation or restrictions can really shake people's confidence.
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Bitcoin Is Still a Young Asset: Bitcoin is still evolving, so all this ups and downs are just normal for it.
Things like This Has Happened Before:
. In year 2017-2018: Bitcoin actually hit $19k and later crashed over 80%. Back then people still complained that Bitcoin is gone. But Bitcoin is still here.
. In 2013-2014, Bitcoin still dropped again because of all these regulatory problems and exchange issues.
. And it even happened back in year 2011, there was still a massive crash.
https://www.webopedia.com/crypto/learn/biggest-bitcoin-crashes/?utm_source=chatgpt.comAnd in all these massive falls, every single time, after all the panic and the noise, Bitcoin still found its way back.
Reasons Why People Should Stay Encouraged:
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Volatility is normal: Bitcoin being volatile doesn't mean, Bitcoin is finished.
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Past crashes didn't end Bitcoin: we all have seen that the market has survived at every single or major crash so far.
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Fundamentals is still strong: the technology and global adoption keep on growing, even when the price drops.
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Staying calm matters: see so many people that lose money, they lose money because they panic, and not because Bitcoin failed anyone.
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Long term investment helps: if your purpose of investing was for Long term, then all these dip will just become a noise to you.
Final message:
Bitcoin has crashed before, and even right now bitcoin is still crashing again. And be sure that someday Bitcoin will definitely rise again, and am very sure about it, because that is how the system works. So instead of you to be disturbing yourself, it will be more better for you to try and understand the cycle, stay calm and make decisions without fear