Nearly 70% of current BTC holders are prepared to withstand a huge price drop that would bring the asset below $ 3,000, according to a poll conducted by VanEck’s CFO Gabor Gurbacs.
Does the poll confirm the mentality of Hodler?
It can be said with certainty that the price of BTC has seriously suffered in the last three months or so. It was at the end of the first and second quarters of this year, when the cryptocurrency grew and set new records almost daily. It all culminated in mid-April, when the asset reached its ATH, $ 65,000.
However, that changed quickly after the FUD launched Elon Musk and was reinforced by China. The actions of the Asian superpower were even more drastic this time, there were widespread bans on BTC mining. As a result, BTC began to decline and lost more than 50% of its value over the next three months. This gave wings to critics who began to predict even more doomsday scenarios hidden just around the corner.
Thus, VanEck’s Gabor Gurbacs decided to find out how the holders would react if BTC fell by 90% from its current price level. Answers clearly confirm that most people will remain strong.
Would you hold a 90% BTC market correction to under $ 3,000?
– Gabor Gurbacs (@gaborgurbacs) July 16, 2021
Such a scenario in which BTC writes off zero from its current price now seems quite unlikely. Nevertheless, the asset has gone through massive bankruptcies in the past, so to say that it is impossible to go below $ 3,000 would be short-sighted.
However, seeing BTC undergoing 90% corrections could be at least challenging for any investor, no matter how experienced or long-lasting. As Warren Buffett once said, “if you can’t control your emotions, you can’t control your money.”
In May of this year, when BTC began to decline rapidly, there were reports that many smaller and newer investors had liquidated their shares in a hurry. Some even sold at a loss. This was after a 30% correction – imagine what could happen if the cryptocurrency went through a 3x worse decrease.
At the same time, it opened the door for other macro investors to buy huge quantities. Michael Saylor was among them. The CEO of MicroStrategy said he would not push for the sale of any of his coins or his company’s coins, no matter how low the price of BTC will be.
How would you respond in this survey?