The CEO of Binance says that the price of Bitcoin has dropped by 35%
#Crypto_News #Digital_Currencies #Digital_Economy #Wcoin $SOL
The CEO of Binance says that the price of Bitcoin has dropped by
35% is just a normal debt reduction, which happens everywhere.
The price of Bitcoin is still double what it was last year, so this decline is actually a profit-taking opportunity.
Cryptocurrency volatility is no longer fair; Tesla and AMD are swinging much harder than Bitcoin right now.
Richard Teng, the head of Binance, says everyone should be reassured about the significant drop in Bitcoin's price. Speaking in Sydney, he told reporters that the 35% drop in Bitcoin's price from its peak in October at $126,000 to around $82,000 is just a natural risk in debt reduction, which we are seeing across all markets right now, and not just a collapse in cryptocurrencies.
Bitcoin’s one year price chart.
Teng pointed out that Bitcoin's price is still more than double what it was last year, so taking a breather after this rise is healthy. He said, “People are taking profits, and markets are stabilizing, that’s how it goes,” adding that the entire sector needs time to catch its breath and find solid ground again.
It's no longer crazy.
He also denied old claims about Bitcoin's extreme volatility, stating that its volatility largely aligns with the volatility of many major assets these days. While it's true that Bitcoin's annual volatility is still around 50%, it is actually much lower than its volatility of 181% in 2013. Some major tech stocks like Tesla (65%), and AMD (73%), and Super Micro (73%) are more volatile right now.
The market has generally been in chaos as well – during the recent turmoil, the volatility of the S&P 500 briefly exceeded that of Bitcoin.
In summary: cryptocurrencies are no longer the offspring of volatility; they are simply riding the same waves that all other currencies are riding. Some consolidation now may pave the way for the next rise.$BTC
