Today, the price of Bitcoin (BTC) dropped by almost 12%, which caused huge liquidations worth more than $1 billion. Analysts are trying to figure out why the price dropped so quickly.
Some ideas include jump-trading sell-offs and fears of a coming U.S. recession. No matter what the real reasons are, the market is filled with a lot of fear, doubt, and confusion right now.
Trader Peter Brandt, who has been working in the stock market since the 1970s, has shared his thoughts on BTC’s future amidst all the chaos.
Bitcoin And Gold Portfolio
In his latest report, Brandt draws a comparison between BTC and gold, a traditional store of value.As more people see cryptocurrencies as “Gold 2.0,” Brandt says that Bitcoin could drop quite a bit against gold up to 39% without changing its long-term bullish outlook.
Even though BTC could go down in the short term, Brandt’s research shows that it still has a good chance of going up, with a long-term chance of rising more than 477%.
As the market is currently very unstable, many buyers recommend having both gold and bitcoin in their portfolios. They say that relying on a single object is like looking for fool’s gold.
Brandt agrees with this and stresses how important it is to have a balanced business plan where gold and bitcoin work together.Ending with, “I believe in owning both gold and Bitcoin,” Brandt shows how important it is to have a variety of investments when dealing with unstable markets.
