Bitcoin plummets to $ 25,000: cryptocurrency haters gloat, even supporters

The cryptocurrency queen has (still) wallowed heavily. Leader as always the rest of the market in her movement. Despite the trillions of dollars lost in the fall, the show delights critics. Paradoxically, the situation also strengthens a number of followers.

Overwhelming. Bitcoin’s price hit a bottom this Thursday at $ 25,500, a level not seen since December 2020. The most popular cryptocurrency has risen, it rang. One BTC is trading at the time of writing these lines against $ 29,260 (-4% in 24 hours). Obviously, it is difficult to find the symbolic threshold of 30,000 dollars.

At the sight of this fall, her digital cousins ​​also blushed. The ETH of Ethereum loses almost 10%, the SOL of the Solana blockchain shows -13%. It looks like a bloodbath. The metaphor is not excessive, the sums of money that are counted in the trillions in fact disappear. And this for several days. The stablecoin Earth (UST) disaster obviously didn’t help.

But this bitcoin drop was accompanied by a tsunami of comments, hundreds of thousands of tweets flooding Twitter, the Commerce cybercafé, evoking the #cryptocrashthe #cryptowinter (referring to the winter of 2018 which froze novice investors in digital currencies), capitulation (that other concept of the crypto sphere where everyone would withdraw from virtual tokens). The mainstream media throws oil on the fire, that of the so-called “first real market crash”. In France, 320,000 tweets on the subject were recorded in 24 hours.

And around this makeshift heap, detractors began to dance, sing, praise the death of crypto …

“The value of bitcoin is actually 0”

This good execution of digital assets has attracted beautiful people. The famous mathematician Nassim Taleb thus pulled out of his boxes a scientific article that he published last year to insist that bitcoin would be worth nothing.

In what he dubbed the “black card”, he applied the methods of quantitative analysis (a branch of statistics that should model the probabilities of behavior of markets and financial products) to the cryptocurrency pioneer to come to the conclusion that bitcoin was useless. “It is not a currency, nor a store of value, nor a hedge against inflation, nor a bulwark against tyranny and it is not decentralized either,” he repeated.

At the time, the results of his calculations had already earned Nassim Taleb 14,000 offensive tweets and emails. A quantified proof he relied on to claim that “ Bitcoin is a magnet for psychopaths: brings together all conspiracy theorists, Covid deniers, antivaxxers, climate skeptics and, unfortunately, Putin’s supporters. An intervention rich in nuances … which overshadows his statistical approach.

The realm of fear?

Faced with the anti-crypto factions exploiting the dire circumstances of the market to make some repairs, the pro-crypto factions have mechanically increased. A kind of online religious war, pitting expert skeptics, chanting the risks of rampant speculation and financial crimes, against the herd hoping for a crypto paradise to come.

Other inspired observers then shared a behaviorist reading of the cryptocurrency crash. The degree of risk aversion is said to have reached breaking point for most holders of bitcoin and other digital tokens.

Just like a religion, cryptocurrency markets challenge the faith of their followers, and the vast majority have had enough. Most will simply not sacrifice the small savings they have left on the altar of cryptocurrencies. Can you blame them? Who can afford to see losses of more than 50% and stand there doing nothing? “, Psychoanalysed Richard Tourrin, author of the bestseller” Without money “.

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The atmosphere remains anxious, if the well-known index is to be believed fear and greed. This barometer of investors in BTC & Co records the longest period of the year in the red zone, having failed for five weeks to escape the state of “extreme fear”.

Who to believe in the end? No one has yet decoded the dynamics of cryptocurrency prices. Even if the branches go crazy and even the man in the street worries about “BTC liquidation volumes”, some market participants will relativize the collapse as a standard event on the scale of classic emerging exchanges. A “nascent” cryptocurrency market lacks experienced investors.

“Chaos is a ladder”

It does not matter, ” the price of bitcoin does not matter »He begs opportunely Bitcoin magazine. ” Bitcoin’s value proposition as non-confiscable and truly decentralized money is really what matters. Not the hype In other words, the current purge would be healthy for cryptocurrencies. Speculators are jumping ship, BTC’s minimum price reflects its true functionality. And so on for other cryptocurrencies.

The current jolts come from the elements ” speculative and technical external elements that, while being part of the game, do not question its foundations “, said successful crypto entrepreneur Eric Lachevêque. This co-founder of the French wallet giant Ledger and the crypto-bank Coinhouse said he was very confident and recommended in two hashtags to keep his bitcoins (HODL) and to continue the development of the network (BUIDL).

It appears that many cryptocurrency veterans are keeping calm, such as Charles Hoskinson, former Ethereum programmer and founder of the Cardano smart contract blockchain. ” The situation will clear up when it hits rock bottom. A long climb will follow “, philosophized on Twitter, offering to listen to the song ” Chaos is a ladder taken from the soundtrack of game of Thrones.

It is very difficult to make immediate history. (…) But one may wonder if any major catastrophe of the “cryptosphere” it intervenes when it empowers itself mentally and philosophically or when it begins to imitate the finance it denounces “, Raised with relevance Jacques Favier, French blockchain specialist and author of the book in particular bitcoin metamorphosis.

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