Bitcoin Price Corrects By 50% — Is this the Perfect Moment to Buy the Dip?

The Bitcoin price has crashed. The valuation of the oldest and most popular digital currency in the world has tumbled down to almost $35,000 — the lowest it has been since July 2021. But what has caused this sudden crash and do crypto investors have anything to worry about, or is it simply a great opportunity to purchase some discount BTC?

The BTC crash started on Friday, when the Bitcoin price plummeted by 10% in less than 24 hours. The downfall continued over the weekend, until the price stabilized at around $35,000.

As is usually the case, altcoins followed the course of BTC. The prices of almost all popular alternative cryptocurrencies have decreased significantly, and the altcoins which made the biggest gains in the past couple months were the most affected by the crash.

Interestingly, the sentiment among crypto enthusiasts remains optimistic. Instead of panicking, experienced blockchain investors are looking to make the most out of the rare chance to buy their favorite cryptocurrencies at lower prices.

But is there really nothing to worry about? A quick look at the causes of the sudden crypto market crash might give us the answer.

When we take a look at the causes of the Bitcoin crash, the situation doesn’t look that bad at all. The fundamentals of Bitcoin and other cryptocurrencies are still extremely strong, and blockchain technology still has the groundbreaking potential to massively improve the lives of billions of people.

So why did the crypto prices fall down? It’s simple: the prices of almost all other assets on the market have fallen down as well. Equities, including stocks of tech giants, have also significantly devalued — for example, the Netflix ($NFLX) price has plummeted by 22%!

The main reason for the sudden bearish movement on financial markets seems to be the macroeconomic factors, such as the fact that the US Federal Reserve aims to fight inflation by introducing a more strict fiscal policy. This in turn causes the investors to move their funds away from more risky assets like equities and cryptocurrencies, and into more safe assets like government bonds.

In other words, cryptocurrency enthusiasts have nothing to worry about — nothing has changed when it comes to the strong technologic fundamentals of blockchain, and the current situation is just a minor move which doesn’t affect the long-term crypto growth forecast.

However, the crash of Bitcoin and most of the popular altcoins might be a great opportunity to make some changes in your portfolio. Investing in innovative, low market cap blockchain projects like Grand Time can be a great hedge against the high volatility of large cryptocurrencies, since they are much less prone to sudden downward price movements!