‘Just be thankful Bitcoin exists,’ say analysts as BTC dreads $30K drop

• Bitcoin’s price dips despite nearing $60K, triggering mixed reactions from analysts and traders.
• The majority of Bitcoin holders remain profitable, indicating the potential for a bullish trend.

After sparking excitement in the crypto community by nearing the $60K mark, Bitcoin [BTC] has experienced a pullback, currently trading at $58,433.

Bitcoin drops to $58k

According to CoinMarketCap, BTC has seen a 0.61% decrease at the time of writing. The sudden drop in Bitcoin’s value has highlighted the increased volatility in the market.

Intrestingly, a pseudonymous BTC trader @Alejandro_XBT has suggested that this price action could lead to a potential retest of the $30,000 level. 

Source: AlejandroBTC/X

As expected, the trader was not alone in his pessimistic outlook on Bitcoin. Echoing his sentiment was long-time BTC critic Peter Schiff, who noted,

“#Bitcoin really diverged from other risk assets today and collapsed by over 5% in under two hours. #Gold also reversed today, but in the other direction, turning a morning loss into a gain.”

Here, Schiff is trying to indicate that gold’s rise could have been even more substantial if investors hadn’t misunderstood or misinterpreted the day’s economic data.

Essentially, it points to contrasting market behaviors between these two assets and implies that investor sentiment or reactions to data influenced these movements. 

Bitcoin supporters stand strong

On the other hand, despite the recent price drop, many remain confident in BTC’s long-term potential, dismissing these short-term fluctuations.

Among the most notable voices is MicroStrategy Co-founder and Chairman, Michael Saylor, who stated,

“#Bitcoin is the world’s best strategic treasury reserve asset.”

Saylor’s remarks were in the context of Marathon Digital Holdings (MARA) successfully raising $300 million through a highly popular (oversubscribed) offering of convertible senior notes.

These are a type of debt that can be converted into company stock.

The proceeds from this offering were used to purchase 4,144 Bitcoin, worth approximately $249 million at the time.

This acquisition has significantly increased their total BTC holdings, bringing their strategic reserve to over 25,000 Bitcoin.

Echoing Saylor’s sentiment, Samson Mow, a prominent crypto influencer and CEO of JAN3, aptly emphasized when he pointed out,

“The current #Bitcoin price might have you feeling sad, but just be thankful that #Bitcoin exists. Imagine a world without Bitcoin where your government is printing money with no end in sight, while mulling over price controls as a fix. Just think how hopeless you’d feel.” 

Is an upcoming bullish momentum possible?

Seeing these divergent views, AMBCrypto analyzed IntoTheBlock data, which revealed that 80.19% of Bitcoin holders were “in the money,” with their tokens valued above their purchase price.

Conversely, only 16.23% of holders were “out of the money,” as their tokens are valued below their initial investment. This suggested that Bitcoin is likely to turn bullish in the coming days.

Source: IntoTheBlock