Bitcoin $83,528.25 Although the recent decline in prices is worried about investors, long -term expectations have not changed. According to Bitwise Chief Investment Officer Matt Hougan, these decreases can be temporary and a harbinger of a great rise in the future. Hougan said that Bitcoin moves with the “Dip Theen Rip” model and offers opportunities for long -term investors. The expert name predicts that the risk increase in markets causes volatility in the short term, but Bitcoin may gain 190 %in 12 months.
Why is Bitcoin falling recently?
Global economic uncertainties include the main causes of decline in Bitcoin prices. Hougan said that former US President Donald Trump’s economic policies and protectionist measures have increased short -term market risks. As investors price such risks, fluctuations become inevitable in volatil assets such as Bitcoin.
The crypto money market reacts more harshly to macroeconomic developments compared to traditional financial markets. According to Hougan’s analysis, the an average loss of value of 2.6 %is observed in Bitcoin days when the S&P 500 index has a decrease of 2 %. This stems from the fact that investors exit from risky assets, taking into account short -term uncertainties. However, according to Hougan, the long -term aspect of the market does not change. Bitcoin’s past performance and clear current value (NPV) calculations indicate that prices will recover after a certain point.
Hougan repeats the prediction that Bitcoin could reach $ 1 million by 2029, and stressed that the market was directed to the new price targets by a ‘invisible hand’ at certain periods. Expert, Bitcoin prices, decreases, large -scale investors offer the opportunity to purchase.
Expectations for Bitcoin in the long term
Economic uncertainties and protectionist policies can contribute to the long -term rise of Bitcoin. According to Hougan, especially tariffs and trade wars, such as factors such as traditional markets away from traditional markets and lead to alternative investment instruments. The decentralized structure of Bitcoin makes it seen as a means of protection against financial and political uncertainties.
Hougan, despite market fluctuations in the long run in the long run Bitcoin believes that he will gain value, he said. He said, “I’ve Never Been More Bullish ((I’ve never been so optimistic), and that investors should develop long -term strategies. According to him, short -term decreases may be an opportunity for investors.
Hougan also said that many investors do not take into account long -term models when calculating Bitcoin’s value. However, historical data show that Bitcoin experienced price decreases before large rally. Hougan argued that investors who do not ignore Bitcoin’s potential to gain long -term value may be profitable.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.