As the crypto bloodbath continues, analysts are advising families to avoid discussing their recent Bitcoin activity this Thanksgiving.
Oh Yeah! I’m the Bitcoin King!
During last year’s holiday season, Bitcoin was at the top of its game. Exchanges like Coinbase were garnering new customers daily, and the currency would hit its peak price of roughly $20,000 less than a month later. Things were glorious, and people who had invested in Bitcoin early were probably telling all their procrastinating counterparts, “I told you so.”
This season, however, the tables have seemingly turned. Bitcoin prices began to fall in early January of this year and have continued falling. In fact, this November – a month when the currency has been known to spike accordingly – the father of crypto took a further $2,000 nosedive from its recent (and less than impressive) price of $6,500.
Darn It, I’ve Lost All My Earnings!
At the time of writing, Bitcoin is trading for just over $4,500. It’s pathetic, it’s obnoxious… And it’s downright scary. How much have people lost thus far? Has Bitcoin failed, and was it an investment that deserved any of the attention it got?
These are probably just a few of the questions rolling through investors’ minds, and several industry experts believe that the topics of Bitcoin and its crypto-counterparts will be things to avoid at this year’s Thanksgiving parties. Chief executive officer of Zoe Financial Inc. in New York Andres Garcia-Amaya, for example, believes:
Last year, people were showing off how they own Bitcoin. My guess is no one is going to bring it up.
Will Things Get Worse?
This sentiment is echoed by Lewis Fellas, chief investment officer at crypto fund Bletchley Park Asset Management in Jersey, Channel Islands. Not only does he think that the subject of Bitcoin is likely to be avoided completely this holiday season; he also suggests that the worst has yet to come.
He states:
Right now, there is a huge capitulation. I don’t think the worst is over yet. Where we struggled this year is that the market will be kind of stable, but then we’ll have a very sharp idiosyncratic shock. There’s the old trading saying of up the stairs, down the elevator.
The Bitcoin price crash appears to have stemmed – at least in part – from the recent Bitcoin Cash hard fork that occurred last Thursday. In addition, Tether and Bitfinex are now being investigated by the Department of Justice for potentially manipulating the Bitcoin price during its peak period last December.
Is Bitcoin bound to suffer further, or will the market stabilize? Let us know what you think comments below.
Image courtesy of Shutterstock, Wikimedia Commons
