Addition comments:
Bitcoin has been closely correlated to the movements of U.S. stock markets. If you noted the timing, U.S. stocks markets fell and futures are still struggling on Tuesday. This is accompanied by high inflation and lots of talks on the ground of a recession in U.S. very soon.
With the above narrative and statistics, it means that bitcoin will continue to dip. The market is also experiencing a domino effect with the bigger players going into a liquidation mode and with high possibilities of more big boys going down that same route as bitcoin continues to dip.
No one can predict the price of bitcoin. When the price of bitcoin goes below $20,000, this also means that if you buy now, you will be buying at a lower price than most institutions such as Microstrategy.
What are the financial implications of bitcoin’s value dropping below $20,000
On June 13, bitcoin’s value fell below $25,000 while on June 29, bitcoin ranged just below the $20,000 mark
On June 29, the value of bitcoin briefly dropped below the $20,000 mark. For a second time in the same month, investors witnessed a decline in bitcoin’s value when on June 13, bitcoin’s value fell below $25,000. As a result, investors were again left exposed to volatile market conditions. “The sudden dip in bitcoin should be held responsible for inflation around the globe. While the cryptocurrency market is based off of the global market, there haven’t been any notable events apart from general market variables which have pushed the prices down,” Sathvik Vishwanath, co-founder and CEO, Unocoin, a cryptocurrency exchange.
Industry experts opined that the Russia-Ukraine war and inflation hitting a fresh 40-year high are some of the reasons why bitcoin’s price is slumping in cryptocurrency markets. “The value of bitcoin is struggling to maintain the $20,000 level. While bitcoin was considered immune to fluctuations with regard to risk oriented assets, it is no longer the case. The overall cryptocurrency market is influenced by factors such as inflation, changes in stock market prices, and the Federal monetary policy,” Raj Kapoor, chief advisor, Acryptoverse, a cryptocurrency advisory firm, told FE Digital Currency.
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.
