Crash, selling panic, strong dump: The descriptions of the situation on the crypto market speak for themselves. It is tough, steely nerves are needed to stay calm during this duress.
However, is this really a showdown, ultimate downfall and burial of the mother of all crypto currencies? Is there still hope for blockchain technology? One thing first: the bubble has burst. And the bubble will do it again and again.
With a monthly decline of almost 40 percent and a current Bitcoin exchange rate of almost 4,000 US dollars, the last all-time high – that much has to be said to be fair – has moved into the far distance. Nevertheless: Death is still different. Ultimately, it always depends from which side you look at the charts. Those who entered the charts in December 2017 will certainly be annoyed. But if you are looking for a good entry opportunity, you can be happy about falling prices.
This is a good comparison to the bursting of the DotCom bubble. The market was full of promising FinTech companies, which today would be called Shitcoins. Many investors gambled their money because they were afraid of missing the train of new technology: Fomo Sapiens are not good investors. Anyone who still bets on the right horse will still be happy today: of all the inflated, insubstantial projects, a few remained. Today they are as self-evident as the technology that lies beneath them: Whether Facebook, Amazon, Microsoft or Apple – finding the needle in the haystack was then as it is now a difficult task.
Times of crisis not only at Bitcoin
In order to find the much quoted needle without piercing one’s fingers bloody with it, only one thing helps: get your act together, be more vigilant and prudent. Don’t fall for dubious scams or pump and dumps and stay calm.
Especially in times of crisis you can see the possibilities offered by the new technology called Bitcoin. The view of Venezuela speaks volumes: While President Maduro continues to destroy the country, the Bitcoin trading volume rises to unseen heights. This is where an important function emerges that Bitcoin can take on: that of value storage. If a traditional monetary system fails, a new one can come and replace it. Without government or institutional intervention, based only on technology. In Venezuela, the mother of all crypto currencies is worth far more than the price displayed on Coinmarketcap & Co.
Whether Venezuela or tomorrow some other country: These are important processes that are set in motion. No matter how negative the motives may be, they make room for a rethink – towards technological trust, away from the single point of failure. Unfortunately, this is still often the responsibility of the middlemen. This can replace the blockchain technology, Bitcoin is already working on it.
It turns out: Bitcoin hasn’ been dead for a long time. The crypto-bubble still has air and will – at least in parts – burst more often. Until that is overcome, you need a long breath.