General consensus seems to be that it‘s been all downhill both before and after Bitcoin’s recent 13th birthday.
Many crypto enthusiasts turned to social media on Friday to voice their frustrations with the state of the crypto market. One Reddit user named imyourkingg allegedly invested 30% of his net worth into Bitcoin (BTC) a few months ago, saying:
“I don‘t need this money for the next 5 to 10 years, but I have to admit sometimes I get so afraid of Bitcoin’s future; I mean it crashes or never reach $100k, $200k as the predictions for 2025+ says or at least $55k again lol, and I lose that money, especially when all of my friends, my mom and family call me crazy for investing on it.”
Cryptos decentralized nature means there are no circuit breakers equivalent to the ones that exist on traditional stock exchanges. The resulting bull/bear cycles can be extreme, and difficult for the uninitiated to become accustomed to. Another Reddit user took the podium with a post titled “bought at $60k and panicking:”
Ok, so I was very new to crypto and a victim of thanksgiving dinner, but I need help should I sell or hold. Guys, Ill HODL [Hold on for Dear Life], but I can't afford to buy a lot more rn.
Bitcoins price has had a disappointing start in 2022, with the digital currency falling 11.4% in the past 24 hours and 44.7% from its all-time highs of approximately $68,000 in November 2021. Early BTC investors may already be sitting on relative fortunes, making them more capable of weathering through these downfalls. The same cannot be said for investors who had only recently entered the game, however. According to a report by Huobi Group, 70% of current crypto holders in the United States started investing in crypto in 2021.