Is This Crypto Winter Or Time To Buy The Bitcoin Dip?

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Bitcoin the world’s biggest digital currency, can’t seem to shake off the $30k range in which it has been stuck for a few weeks (10 till 30 May to be more precise).

As tech stocks in the US seems to have rebounded (for the past few trading days) and the doom and gloom messages subsided for a while, we should ask whether this is crypto winter or time to buy the Bitcoin dip?

Crypto winter

Bitcoin has lost about a third of it’s value in two months, coming on the heels of many influencers warning about another crypto winter, the period known as prolonged months of downward pressure. There have already been several of these, certainly since the famous Bitcoin bullrun of 2017-2018. The two crashes witnessed in 2021 took 45% to 47% off Bitcoin’s price and lasted 14 and 10 weeks respectively. That would mean we still have some downward pressure to go.

Bitcoin needs to go up about $1,100 today to avoid printing the 9th red weekly candle in a row.

— The Wolf Of All Streets (@scottmelker) May 29, 2022

Joseph Edwards, head of financial strategy at fund management firm Solrise Finance, explained that:

Bitcoin is just not attractive to retail investors right now. Nobody really sees that potential for bitcoin to give out 10 times (return).

Delta Blockchain Fund founder Kavita Gupta declared to Bloomberg last week that this particular ‘crypto winter could last for a year, which would be a very long one indeed.

I think it’s just the beginning of crypto winter. We are going to stay here for at least a year and a half. I don’t believe that Bitcoin is going back to $45,000, $50,000 or $60,000 for another year and a half. I’m very surprised that people are expecting that Bitcoin is going to continue to hover around $30,000. I do expect it to go down to somewhere between $14,000.

Gupta stated.

Time to buy the Bitcoin dip?

A question that always returns whenever Bitcoin is in these prolonged periods of downwards price pressure is whether now is a good time to buy the dip. Speaking in The Times this weekend, 31 year old Heloise Greeff, a former research fellow at Oxford University admitted she thought that now was the time for buying the dip.

A friend owed me money and he asked to pay me back in bitcoin.

Said Greeff.

I wasn’t a pure convert from the start. But I was happy to take a chance and accept the payment because the engineer in me understood what was going on with the blockchain. I could understand the long-term potential.