On March 13, Brett Munster of Blockforce Capital said that as long as the price of bitcoin falls, long-term investors will enter.
“This group of market participants has been repeatedly willing to buy bitcoin at lower prices, thus setting a bargain for bitcoin over the past few months,” he wrote. On the other hand, as long as bitcoin remains at 47,000 Below the dollar, short-term holders are at a loss, and most people currently hold bitcoin at a loss. “Every time we start approaching this price level, selling pressure seems to increase, probably from investors who are eager to get their initial investment back.”
Munster said. Matt Maley, chief market strategist at Miller Tabak + Co., has also noticed the trend. “Long-term investors tend to underbid the market,” he said. “However, a lot of those who bought bitcoin last year were at a loss. They seem to be taking advantage of every rally, with so much in its ability to be an inflation hedge. Under the uncertainty, reduce some bitcoins.”