Bitcoin (BTC) Price Hits $82K Amid Fear: Is This the Best Time to Buy?
- Bitcoin dropped to $82K before rebounding to $86K, but remains 2.45% down in 24 hours due to market fear.
- Ki Young Ju urges against panic selling, citing historical corrections as part of Bitcoins bull market behavior.
- Despite market fear, Robert Kiyosaki sees Bitcoins price drop as an opportunity, while liquidations add to volatility.
The Bitcoin (BTC) price dropped to $82,000 yesterday, and then rose to $86,274. Still, BTC managed to stage comeback but still is 2.95% lower in the last 24 hours. This is due to a massive decline of the Fear and Greed Index to 10 which signifies extreme fear in the market leading to a reduced BTC price.
Ki Young Ju, the CEO of Crypto Quant, made a post on X and shared his view on the situation. He explained that it is normal to have a 30% correction in a bull market and referred to the 53% decline that happened in 2021, and then btc made another all-time high. Ju noted that panic selling is not a good practice and urged the investors to keep their goals in mind.
Institutional Sell-offs Impact
There are various factors that can be attributed to this recent increase in the fluctuating price of Bitcoin. Market sales have been dominated by institutions that disposed of their holdings given short-term risks associated with owning BTC. These have further fuelled the market negativity and added more pressure to bring about fluctuations and thus a decrease in price.
Robert Kiyosaki Stands by Bitcoin
However, not all of them are selling, that means there are people who are actively engaged in buying. Recently, during this downturn, one personality who has come out strongly in support of Bitcoin is Robert Kiyosaki author of Rich Dad Poor Dad. Based on his views, Kiyosaki best describes BTC as providing more security than current currencies and commodities in todays economy. Instead of getting concerned and selling his BTC, he sees more opportunities for accumulating more of it due to the current price crash.
However, more than selling pressure, there has been an observed and recorded high number of liquidations within the market. The total longs liquidations over the last 24 hours surpassed $606.44 million, while the short liquidations reached $163.19 million. The liquidations affected more than 185,000 traders that led to the fluctuations.
Fear and Greed Index
The Fear and Greed Index which has been greatly reduced to a level 10 is another market sentiment that is used. This is an extreme fear that can lead to more selling, mainly because investors move to the sidelines to limit losses. But others tend to disagree with this opinion and think that this is a rather irrational fear which might turn into a buying opportunity for those investors who are bullish on BTC.
Source: Alternative.me
Even on the technical front, BTC seems to signal signs of more potential troubles ahead. At the moment, the cryptocurrency price is located below the middle Bollinger Bands, which indicate more sell signals. When price approaches the lower Bollinger Band, this should be taken as a hint that Bitcoin could soon reverse to the bearish trend.
Source: TradingView
The market trends have influenced the recent downturn in Bitcoin. Market sentiment remains depressed, especially as there has been record outflows of over $1 billion from digital asset ETFs in the United States. Another significant aspect that contributed to the situation was a 5,000 BTC withdrawal from BlackRocks Bitcoin ETF on February 26. There remains one constant, namely; economic determinants have remained a central driver to force many investors to work on their positions, which places a much pressure on BTC in the short term.
The recent plunge in the price of Bitcoin is attributed to fear effect which includes institutions selling their holdings, other technicalities and fear of economic instabilities. While some, such as Robert Kiyosaki, consider the downturn as a buy situation, others are relatively cautious, which results in higher fluctuations. The recent market trend can be seen as Bitcoins short-term price volatility, but for the long-term Bitcoin supporters, it can not be treated as a short-term fluctuation in the development of Bitcoin.
Read more: https://www.tronweekly.com/bitcoin-btc-price-hits-82k-amid-fear-is-this/
Text source: TronWeekly
