News of positive forward trajectory in cryptocurrency has been hitting the cryptocommunity recently, such as the rumor of Bitcoin’s Exchange Traded Fund (ETF) that has been milling and the US Securities and Exchange (SEC) classifying Bitcoin as a commodity.
Despite this, though, Bitcoin, and other cryptocurrencies are being knocked backward in severe price dips which are smashing the cryptocurrency market.
Tom Lee of Fundstrat, an independent cryptocurrency research business, has offered a potential answer to why the market might be failing and presents what he thinks is a solution to the problem.
Lee believes that Bitcoin market dominance is the way to resolve the space and argues that investors hyper-responsive to bull runs within the market. Despite the current market, investors are still considering the news of the ETF’s in the leading cryptocurrency and Lee has expressed that this is a point that “Bitcoin is the best house in a tough neighborhood.”
As he has done so before, Lee made us of his ‘Misery Index’ in order to explain the mood of a Bitcoin holder. He places the “misery” levels of a Bitcoin investor at under 27 if the mood is sour and above 67 if the investor is over the moon.
At present, Lee suggests that the index is at 39 – and is consequently aligned with a possible improvement in the market. Owing to this, the Fundstrat CEO urges investors to perceive the market as a place in which the cryptocurrency money is moving only within the cryptocommunity and that more growth is on its way.
While the current bear market might be displeasing to many investors, there is still a great deal of optimism within the space with those in the forefront of the industry such as Brian Kelly and Charles Hoskinson offering encouragement.
Currently, Bitcoin is trading at 2.85% more day-on-day and is sitting at $6,494.794 USD.