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For newbies to Bitcoin the recent price slump may come as a shock. Many believe that Bitcoin hit an all-time high of $126,000 in early October last year, buoyed by the Trump administration’s fanfare, Wall Street’s acceptance and predictions that it would soon top $1 million per Bitcoin.
But what started as profit-taking gradually turned into forced liquidation. The stalled passage of the expected Clarification Act has left regulatory uncertainty hanging over the market, while the AI boom coupled with gains in metals has drawn investor attention (and capital) away from cryptocurrencies.
Earlier on Thursday, Bitcoin fell below $70,000, plunging 45% in less than four months, which may have prompted some to lose faith in the long-term value of the digital asset altogether.
Here’s what some long-term holders are saying about the current panic:
Entrepreneur and former Coinbase CTO Balaji Srinivasan:
“I have never been more bullish on cryptocurrencies,” Balaji wrote on Thursday. “Because the rules-based order is collapsing and the code-based order is rising. So short-term prices don’t matter.”
“As international law breaks down, we not only need on-chain currencies but also on-chain companies,” he continued. “As the post-war order collapses, we also need a post-Internet order. The state will fail and the Internet will take its place.”
“We need internet capitalism, we need internet democracy, we need internet privacy. So we need cryptocurrencies.”
Samson Mow, CEO of Bitcoin technology company Jan3:
“This reduction feels terrible, not because it is so large but because it is unfair,” Miao wrote. “Everything is rising, but we’re trading sideways. AI bubble fears? We’re down. Metals crash? We’re down too.”
“However, absolute scarcity is real and reaches its limits. We cannot be suppressed forever.”
Market analyst Bob Loukas:
“Every cycle feels different, but it’s not,” Lucas said.
You make real money on paper and think it’s permanent. Then you go back and forth and swear you’re done for good.
“As for where we are now. Although the cracks are forming, the stock market has not yet completely collapsed. We are still in a bull trend, but also in the ‘stay alert’ phase, and the decline may no longer be an opportunity.”
“The carnage is huge for crypto, but it could get worse. We’re past the breakaway phase, but that doesn’t mean you can’t break free and survive another day. If you’re sitting on something paralyzed, shake off that burden and throw it away. A worthless coin isn’t cheap when it’s down 60%.”
“This does not apply to spot Bitcoin, you are not selling Bitcoin at a high of 44%, and even deeper levels are expected in 2026.”
Market analyst Jim Bianco:
“Cryptocurrency is built on permissionless principles; it should be a disruptive force for Tradfi. I believe in that mission. In many ways, Tradfi needs to be disrupted.”
“This is why I’m outraged by the **TradFi/Boomer Adoption** narrative. Asking Larry Fink, Jay Powell (or Donald Trump) for permission is everything cryptocurrencies should not be. Thankfully, this “asking for permission” narrative is dead in November 2024.”
“The next step won’t be more lawsuits supporting Bitcoin and telling tradfi to buy.”
“Stop making excuses for why boomers don’t sell or buy again. Rebuild the alternative financial system. Take it away from BlackRock instead of waiting for them to bless you. Do this and Bitcoin can hit $1 million. Until then, the winter will continue.”
