Skip to main content

Industry Experts on Bear Market: Bear cycles are clearing the market and healthy

 


Crypto markets are clearly bearish, but some industry insiders believe such conditions will drive out the bad players and create greater opportunities for future participants.


Traders tend to complain about negative price action and how difficult it is to make profitable trades when markets are down. However, several leading analysts and developers agree that now is the right time to position yourself well. Then one could count among the big winners when the upward mood returns.


Polygon co-founder Mihailo Bjelic told CNBC on Friday the current downturn and new big selloff earlier this month is exactly what the market needed.


Bjelic believes the market has become "maybe a little irrational or maybe a little reckless" as the total market cap of all cryptocurrencies increased 12.5x between November 2019 and November 2021. This tremendous growth rate has surpassed most other traditional markets:


"At times like this, correction is usually necessary and that's ultimately healthy."

The market is currently in a major correction. Since November of last year, the total market cap of all cryptocurrencies has fallen by 60 percent from $3 trillion to $1.2 trillion, according to CoinGecko . Cointelegraph reported on Saturday that traders are still expecting further declines as the latest bear market saw prices plummet about 80 percent overall.


Crypto market analyst The DeFi Edge added that bear markets would bring benefits to most market participants. The user tweeted on Sunday, "Bear markets are healthy for crypto growth."


He comes to this conclusion because in a bear market there are fewer new entrants targeted by scammers . Last year, Bitcoin ( BTC ) transaction volume peaked on November 9 at 335,411. This increase in volume also coincided with the all-time high. On Sunday, transaction volume fell 38 percent to 207,859 , according to Blockchain.com .


Less activity means fewer opportunities and lower profitability for scams, so these tend to go away.

Jason Ye, a partner at crypto mutual fund ROK Capital, said that despite lower prices and activity, bear markets are an excellent opportunity for traders and developers to position themselves and have even more success when market sentiment turns around again. He told Cointelegraph Monday, "In a bear market, look for the best fundamentals and focus on building a product."


"It's time for traders to use their cash reserves to profit in the next bull cycle. As always, the winners of the bull market are those who put in the work in the bear market."

Alex Becker, game maker at Metaverse gaming platform Neo Tokyo, shared his thoughts in a tweet similar to Ye 's on Saturday . He also believes that bear market buyers are most likely to make profits in a bull market. He said, "The big money is made by buying in a bear market. Most of the losses come from buying in a bull market."

Becker added the key factor is to buy low and sell high. He also believes that people on Twitter are very pessimistic and aggressive about bear markets and he finds that "ironic".

My Top Picks
Honeygain - Passive earner that pays in BTC or PayPal
MandalaExchange -The Best no KYC crypto Exchange! 
BetFury - Play And Earn BFG for daily Bitcoin and ETH dividends!
Pipeflare - Faucet that pays in ZCash and Matic, Games pay in DAI
Womplay - Mobile dApp gaming platform that rewards in EOS and Bitcoin
Cointiply - The #1 Crypto Earning Site
Torum - Join the latest Social Network and earn TRM for Free! 
LiteCoinPay - The #1 FaucetPay earner for Litecoin 
LBRY/Odysee - YouTube Alternative that lets you earn Money by viewing videos!
FaucetPay - The #1 Microwallet Platform
FREEBTC - The #1 FaucetPay earner for Satoshi's
FaucetCrypto - An earning/faucet site that pays out instantly
FireFaucet - An earning site that pays better for some than Cointiply
DogeFaucet - Dogecoin Faucet
xFaucet - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BCH, BNB, ZEC, FEY - Claim every 5 minutes
Konstantinova - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BNB, ZEC, USDT, FEY, 25 Claims Daily

Comments

Post a Comment

Popular posts from this blog

From offchain to offchain: Statechains meets Lightning

  Without a doubt, the most significant off-chain Bitcoin solution is the Lightning network. But in its wake, the statechain has emerged as an intriguing replacement. There is currently a proposal to link the two offchain networks. From an ocean, for example, you can see sunbeams glistening in the water, waves rippling, and possibly a jellyfish drifting toward the light. But you only see a small portion of it. The distance from the sea's surface to its bottom is hundreds of meters. It has dozens of different fish species swimming in it, crabs and starfish crawling on the bottom, shells clinging to rocks, and sea plants climbing up. A completely new world starts where your gaze diverges. You can picture a blockchain like Bitcoin, just like the sea. What you see on the outside is only a small portion of what is actually there; the set of UTXOs (coins) and transaction history that full nodes store are just the beginning of a much larger world. It's the plan, at least. With Bitcoin...
Post a Comment
Read more

Phishing attack on popular crypto sites tries to empty wallets

  Several major crypto sites such as Etherscan, CoinGecko, DeFi Pulse, and others report malicious pop-ups scammers use to try to trick users into connecting their MetaMask wallets. The phishing attack came from a domain displaying the Bored Ape Yacht Club (BAYC) logo. "We are investigating the root cause of this attack to fix the threat as soon as possible," CoinGecko founder Bobby Ong tweeted. The phishing attack appears to have been triggered by a malicious ad script from Coinzilla, a crypto ad network, according to CoinGecko. Etherscan also advises its users not to confirm any transactions that may appear on the website. The attackers attempted to use the hype around the “bored monkeys” non-fungible tokens (NFT) to gain access to the cryptocurrencies of unsuspecting website visitors. Although the websites affected by the scam attempt have reacted in the last few hours and deactivated the advertising pop-up, it is still recommended not to connect your MetaMask wallet to ne...
Post a Comment
Read more

Bored Ape Yacht Club NFTs stolen through phishing on Instagram

  Bored Ape Yacht Club ( BAYC ) developers announced on Monday that hackers have hijacked the official Instagram page of the popular NFT collection and posted links to a fake airdrop. Crypto enthusiasts who connected their MetaMask wallet to the rogue website subsequently had their Ape NFTs stolen. Apparently, the attack was planned to coincide with the one-year anniversary of the BAYC collection. This increased the "perceived credibility" of the phishing link. About 100 NFTs are said to have been stolen in the phishing attack . According to CoinGecko data , the minimum price for a BAYC NFT is 139 Ether ( ETH ) or $400,726. So if reports are correct, over $40 million worth of NFTs were stolen in the attack. These numbers are only the lowest estimate, however, as they are based on the lowest price.  At the time of writing, it was still unclear how the hackers gained access to BAYC's official Instagram account. Social media users have pointed out the importance of two-fact...
Post a Comment
Read more