Bitcoin Had its Worst Month in a Decade and That is Great News
May 2021 saw Bitcoin experience its worst month since 2011.
May saw Bitcoin down nearly 40%, making it the cryptocurrency’s worst monthly performance since September 2011.
Since peaking near $65,000 in Mid-April, bitcoin has tumbled nearly 50%. However, all is not as gloomy as it looks at first glance and the reality is that Bitcoin’s terrible month, it’s worst in a decade is nothing but good news for you.
Just one month after having its worst performing month in September 2011, the next month - October - saw Bitcoin prices bottom out at around $2. What followed then was that Bitcoin went on a steady increase, reversing the losses and gaining in value. And, right now, there is nothing to suggest we won't see otherwise again. Bitcoin may fall a little bit further again in June, but there are enough indicators suggesting Bitcoin reverse those losses and pass the $65,000 mark in 2021.
Despite all the crazy white-knuckle rollercoaster rides Bitcoin traders have been on in the last two months, Bitcoin has repeatedly found an anchor around the $37,000 mark. On the few occasions Bitcoin has looked like heading towards the $30k mark, it has managed to pull itself up and steady around the $37k level.
What this means at a very basic level, is that Bitcoin is most likely at the point of the dip where you should be buying. Think about it, you are literally buying an asset that rose 305% in 2020, at a price that is nearly a full 50% cheaper less than two months ago.
It is important to look at Bitcoin in the bigger picture. The return of Bitcoin volatility should not blind us to the fact that despite a challenging couple of months, Bitcoin, the grandfather of all digital currencies is still up 24% this calendar year, and up around 270% over the last twelve months.
Social Media has been awash with well known crypto investors stating they are ready to pile into Bitcoin should the price fall a little further. Lark Davis tweeted: “Would love to pile up on some more #bitcoin under 30k, more #ethereum under 2k, and would get into some #defi blue chips if their prices drop much further.”
Glassnode Co-Founders, Yann Alleman and Jan Happel wrote on Twitter of their support for Bitcoin’s price:
“Highest realized daily losses recorded in history.
This shows how many investors support the 30k #Bitcoin level.
A coin realizes a loss if the price at its last movement was higher than the price of its current movement.”
There is clearly a belief that Bitcoin has bottomed out or is about to bottom out. This dip presents an amazing opportunity to get into Bitcoin at Cointandem at a price you would have bit someone’s hand off for two months ago. What are you waiting for? Buy now!