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As panicked retail investors ask ‘Why is Bitcoin dropping?’, explore this deep-dive into prospects for Bitcoin price and uncover whether it’s too late to buy Bitcoin at the current BTC price here.
Is it too late to buy Bitcoin? Some experts say yes, it’s better to stay on the sidelines and watch it go up, with strategic guesses that it could be more lucrative to await a brutal bear market in 2027, or some distant, hard-to-predict date when you can buy cheap BTC after a crash.
Others analysts say no, that Bitcoin is still in its early days, and that this recent price crash to $62,963.47 is evidence of that.
All the flippant contrarian crypto advice online can be hard to decipher, so let’s review the most frustrating questions about why is Bitcoin dropping, and its price by the end of 2024.
Why is Bitcoin Dropping? Exploring The BTC Price Chart
Price corrections are nothing new, and form a typical feature of bull market volatility. In 2020-2022, corrections happened several times as BTC reached all-time highs. Historically, Bitcoin doesn’t smash its ATH in record time without a subsequent price correction.
Another point of history: Bitcoin has risen to a new ATH after a halving event in each previous cycle. Not before. So what changed? Why was the price surging over the last month?
The answer is simple: Wall Street.
Asset managers and other Wall Street financial institutions like Vanguard, BlackRock, and Grayscale entered the crypto market en masse via ETFs. An ETF is a fund traded on major exchanges such as the NYSE or NASDAQ, mirroring an underlying asset like gold or Bitcoin.
A crypto ETF allows dad, mom, grandma, and financial institutions to easily invest in Bitcoin.
Ostensibly, an ETF also stabilizes the price, allowing older investors and institutions to begin storing more of their gains from stocks in Bitcoin, and countries can also start storing a share of their holdings in BTC.
It has also made the price of Bitcoin more volatile and unpredictable. Case in point: Grayscale’s GBTC, which transformed into an ETF earlier this year, has seen a staggering $12 billion vanish into thin air due to outflows.
Should You Buy More Bitcoin at the Current BTC Price Right Now?
Bitcoin’s value is in it being an electronic data system that tabulates and keeps track of the world’s wealth. It’s fully distributed, transparent, and hard, so it can’t be manipulated.
Over money’s history of 5,000 years, our tabulation systems have always been corrupted by third parties, whether that be Rome’s debasement of currency or the Fed printing 1/4 of US dollars ever created in 2020. Bitcoin is incorruptible. It’s the same in India, New York, and Africa. T
he only corruption came from systems built on top of it, like FTX or Celsius, not the system itself.
What’s the price of Bitcoin in 2024?
Crypto markets are divided over the big question – $100k? $200k? $1 MILLION? Or is a bigger crash coming?
The Bitcoin Fear and Greed Index, which measures the behavior data of traders, was at “extreme greed” for nearly a month indicating a correction was due.
However, with the Bitcoin halving cycle in less than a month, interest rate cuts, and a presidential election coming, which is when stimulus is historically guaranteed, BTC price is set to rebound.
Try not to think of things in terms of “too late” or FOMO. Look for the opportunities — there are many.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
