We talk about a bear market when there are prolonged price declines. Currently, cryptoassets are bearing the full brunt of the bear’s claws. Bitcoin, the queen of cryptocurrencies, which traded at $69,044 on November 10, is struggling to stay above $20,000. Also, Ether, as well as Dogecoin and Shiba Inu seem relatively far from their ATH last year. When is the next bull run? Comments from Niel Green, CEO of deVere Group.
Additional crypto volatility in the bear market
” Savvy, long-term #crypto investors will look to take advantage of panic sellers by buying their digital currencies “at a low price,” Devere Group CEO says.
This commentary excerpt was taken from a briefing by Nigel Green regarding the current crypto market situation posted on the deVer Group official website. According to him, this downward trend is likely to continue until the end of the year. Besides, we should expect additional volatility in the crypto space in the coming months.
” Markets are now pricing in that major central bank policymakers, including the US Federal Reserve and the Bank of England, are likely to remain intent on raising interest rates in their battle against surprisingly stubborn inflation. “, he had specified.
As a reminder, last Thursday, Fed officials stated that they wanted to maintain the increase in key rates given that inflation persists. The bullish CEO of deVere Group had therefore planned further hikes in the same rates by early November. These could go up to 75 points.
” Meanwhile, members of the Bank of England’s Monetary Policy Committee have made it clear that they will make a big rate hike at the Committee’s next meeting on November 3rd. »
Analysts have always confirmed a decline in the value of the stock markets as soon as an upward revision in interest rates comes to mind. History bears witness to this. Indeed, this decision has always led to reluctance at the corporate level. As a corollary, this always results in a lack of profits.
Hence his prediction:
” Given the current correlation of bitcoin and ether with stock markets, we expect additional, possibly heightened, volatility in the cryptocurrency market before the end of 2022. »
A situation that would benefit the best investors
Several analysts have already suggested that there will be no bull run this year. CZ even went so far as to say that the next crypto price surge will not happen until 2026.
As an expert in financial advice and asset management, Nigel Green suggests buying bitcoin. Instead of lamenting or selling at the low price, an attitude discouraged by the boss of Binance. We must see the bear market as an “opportunity “.
” However, for serious investors, this will not necessarily be considered a bad thing. […] Large investors, including institutions, will treat it the same as turbulence in any other market. […] Some of the world’s best investors consistently use market volatility as major buying opportunities in traditional financial markets, and the cryptocurrency market is no different now. »
Indeed, there is nothing to fear in volatility, Green continued. On the condition of considering it as ” an extremely powerful investment strategy » and to use « effectively and efficiently “.
Didn’t Robert Kiyosaki advise us to buy bitcoins before everything collapsed?
It should also be noted that the King of Crypto remains the best performing asset class in the world. Even the GAFAMs cannot achieve the same returns as bitcoin. The latter, for example, displays returns 355.22% higher than those of Amazon over 5 years.
For Nigel Green, volatility additional to come will certainly create a situation of panic among uninformed investors. Something to benefit serious investors who will take advantage of the situation to stock up on cryptocurrencies.
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