Cryptocurrencies suffered their worst bearish trends ever throughout 2017. Many tokens lost as much as 90% of price values at the beginning of the year. The condition was further worsened by ‘seasonal investors’ withdrawing from the market. These investors usually follow the traditional equity trading strategies, which only hurt the crypto markets.
These investors stayed away from digital assets throughout the bearish trends, and seem to have returned since the bulls came back in February this year. Muneeb Ali, Blackstack PBC CEO and famous crypto influencer, took a jibe on such investors on Tuesday, terming them as “seasonal friends” of cryptocurrencies. Ali said that he found it funny how bullish trends made people believe in the underlying techs.
Funny how a bull market makes people believe in the underlying tech/ideas.
Welcome back, seasonal friends of crypto. Our industry made a lot of progress since your last visit.
— Muneeb Ali (@muneeb) May 14, 2019
Ali also said the crypto space had made significant progress even through the bearish trends. His claim can be testified by the fact that despite prices growing down, the market expanded by over 122%. Many new crypto projects emerged on the scene, including those from behemoth corporations like IBM, JPMorgan, Facebook, etc. Companies like VISA and PayPal have also jumped into the crypto-blockchain game.
All this shows that crypto markets are lesser impacted by price fluctuations, than what it appears to be. John McAfee, the famous computer programmer, and another crypto influencer, also expressed similar views. He tweeted on Monday that people shouldn’t be panicked by sudden price drops. McAfee stated that price fluctuations in the short run have absolutely no relevance on market conditions.
Do not, under any crcumstances, panic at any drop in price, sudden or otherwise. Surely I have demonstrated that short term fluctuations have absolutely no meaning. Just check the price once every two or three months if you want to be pleased each time you check.
— John McAfee (@officialmcafee) May 13, 2019
Volatility has been a constant threat to market trends for a long time; however, as the crypto users mature, the conditions will become better by the day. Many consider the bearish trend of 2018 as the market catalyst, as the bears made new entrants, who aren’t much technically aware, that crypto assets are more about longevity than sheer daily trading.