While most of us fear the bear market, here’s a top cryptocurrency analyst who believes otherwise.
The global digital currency ecosystem is currently going through a large negative correction after having a fantastic start to the week. According to information from CoinMarketCap, the total market capitalization has decreased by 3.06% to $1.10 trillion as of this writing. A 3.68% decline in the price of Bitcoin (BTC), which put the most valuable cryptocurrency at $24,073.41 per unit, contributed to this negative collapse. The worst performer among the top 10 cryptocurrencies was Polygon (MATIC), which saw its value fall by 8.43% to $1.35. Ethereum (ETH) also saw a loss of 3.63% of its value to $1,642.19 in value.
Despite how bearish the market appears to be, leading cryptocurrency analyst Ran Neuner noted that when compared to the larger U.S. stock market, it is actually highly positive.
The Dow Jones Industrial Average has lost nearly 697 points in what appears to be one of its worst day closures since the year’s beginning, while the tech-heavy Nasdaq Composite Index is down by 2.50%.
While the cryptocurrency fall is worrying, it is simply a reflection of the highly connected financial sector. The larger market is still registering different outlooks over inflation.
Could Cryptocurrency Critics Be Right?
The ideal market cycle frequently has highs and lows, and in the opinion of the industry’s supporters, this is simply a normal correction.
Yet, according to detractors like Peter Schiff, this could signal the beginning of an approaching reversal of all the advances the sector has made since the demise of the FTX Derivatives Exchange. It won’t come as a surprise to see outspoken detractors like Jim Cramer urge his followers to sell their investments at the right time to cut their losses.
In a recent tweet, Bitcoin’s arch-enemy Peter Schiff projected that the largest cryptocurrency’s price would once more fall below $18,000.
The investor has claimed time and time again that Bitcoin’s growth is solely the result of speculation, downplaying its technological advantages. The business is accustomed to shocks, and the most recent historical tendency indicates that the current decline will only last a short while.