Cryptocurrencies

Bitcoin dives below 55,000 euros, buy the dip advises Pompliano


What a bad week for Bitcoin. The course has fallen again and has lost 3.5% today. Bitcoin is now even trading below 55 thousand euros. But declines also offer opportunities, where others sell, you can profit. That is called buy the dip.

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American entrepreneur and Bitcoin enthusiast Anthony Pompliano is still optimistic about Bitcoin despite everything. This time, he gave advice to investors on what to do during this BTC decline. He stated that there is no reason to worry, despite Bitcoin’s recent setbacks.

Bitcoin Declines Are Buyable

In a interview with FOX Business Pompliano said that Bitcoin declines are buying opportunities. Every “great investor” knows to buy more when prices are falling. He further claimed that anyone who is doubting whether to buy more during this BTC decline doesn’t really know what they own. By this, he was referring to Bitcoin’s potential.

Pompliano noticed that both retail and institutional investors are starting to realize that Bitcoin is a “resilient” asset, which will be worth more in five to ten years than it is now. The American entrepreneur also explained that BTC has matured compared to previous market situations, while still achieving impressive growth.

He stated that Bitcoin experienced several price drops of 30% and 25% during the bull runs of 2017 and 2021. This market situation has improved, with the leading crypto now only experiencing price drops of around 15%. He said that this shows that BTC’s volatility is decreasing.

Spot Bitcoin ETFs and the Future

Additionally, he noted that in this market environment, BTC has Spot Bitcoin ETFs, which were missing in previous bull runs. He believes that these funds will be a major catalyst for Bitcoin’s rally towards the end of the year. Pompliano predicts that Bitcoin could reach a new all-time high (ATH) before the end of 2024.

However, he warned that BTC may not rise as high or as fast as it once did, now that institutions have invested in the leading crypto via the Spot Bitcoin ETFs. This, he said, is because the entry of these institutional investors has dampened Bitcoin’s volatility.

Thoughts on Spot Ethereum ETFs

Pompliano also gave his opinion on the Spot Ethereum ETFs and when they could begin trading. He suggested that these funds are likely to begin trading this summer. He added that this could happen sooner based on rumors that the Securities and Exchange Commission (SEC) is close to approving these funds.

According to Pompliano, Ethereum has a problem that BTC doesn’t and this could negatively impact flows into Spot Ethereum ETFs. Bitcoin has a single narrative as a “store of value,” which he says has been enough to convince investors to invest in the leading crypto.

On the other hand, he said that Ethereum has many stories, which creates a confusing picture. This could be a big problem for Spot Ethereum ETFs, as institutional investors could easily get confused about what Ethereum is and choose not to invest in these funds.

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