Compared to the 2017 parabolic run this time we are seeing less significant pullbacks.
In 2017 bitcoin drops were brutal, ranging on average from 30% to 40%, these days we are seeing something closer to 15% to 30%.
This difference can be partially explained by the difference in buyers.
In 2017 bitcoin buyers were almost all retail (like you and me)
Now in 2021 we're seeing a lot more activity from institutional investors. Just think about MicroStrategy who bought close to 91k bitcoins or Tesla being one of the first Mega-Cap to add bitcoin to their balance sheet.
Not only that, but bitcoin ETF are coming out which could facilitate the process of buying bitcoin for those not interested in a coldwallet.
What I wanted to say is that today's drops are met sooner by institutional investors or those wanting to start a position in bitcoin.
Not even to mention people religiously dollar-cost averaging.
Thank you for reading!
Consider leaving a like! It helps me know what you guys like
*Note: I calculated % changes using high/lows not open/close to better picture intra week
In 2017 bitcoin drops were brutal, ranging on average from 30% to 40%, these days we are seeing something closer to 15% to 30%.
This difference can be partially explained by the difference in buyers.
In 2017 bitcoin buyers were almost all retail (like you and me)
Now in 2021 we're seeing a lot more activity from institutional investors. Just think about MicroStrategy who bought close to 91k bitcoins or Tesla being one of the first Mega-Cap to add bitcoin to their balance sheet.
Not only that, but bitcoin ETF are coming out which could facilitate the process of buying bitcoin for those not interested in a coldwallet.
What I wanted to say is that today's drops are met sooner by institutional investors or those wanting to start a position in bitcoin.
Not even to mention people religiously dollar-cost averaging.
Thank you for reading!
Consider leaving a like! It helps me know what you guys like
*Note: I calculated % changes using high/lows not open/close to better picture intra week