According to Dylan LeClair, Bitcoin’s recent performance can be attributed to a widespread understanding of the power of trustlessness. Over the last 18 months, the cryptocurrency has gone through difficult times, with severe price falls and the collapse of some cryptocurrency exchanges, but it has continued to show capability. This market resilience was affirmed by the Open Interest chart, which demonstrates a decrease in the number of futures derivatives and Bitcoin holdings on exchanges, meaning investors are looking for a long-term currency with no counterparty risk. Despite stagflation being a continuing challenge to the cryptocurrency, it is suggested that the end of the rate cycle is fast approaching and Bitcoin will be tested as an effective hedge.
Nicole Gomez
- 2023-04-12
Bitcoin's Resilience Despite Market Challenges
This article looks at the recent performance of Bitcoin, in terms of its resilience. Despite issues such as price falls and the collapse of some exchanges, Bitcoin is continuing to show capability, and its Open Interest chart suggests that investors are looking for a long-term currency with no counterparty risk.
