Nassim Nicholas Taleb – the author of “Back Swan” and one of the world’s biggest crypto skeptics – commented on social media that the volume chart for BTC, the world’s number one digital currency, has been in a downward spiral since late 2020. Nicholas Taleb on How BTC is Easy to Manipulate In other words, while the price has shown signs of recovery, the volume of BTC hasn’t, which could make the currency easier to manipulate and lead to other problems. Taleb stated: When I said people lost interest in bitcoin, it was based on this. BTC volume is slowly disappearing, down >85 percent from the peak. This is how open Ponzis implode. What he’s implying is that crypto manipulators and illicit actors will step into the industry and try to engage in rotten behavior
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Nassim Nicholas Taleb – the author of “Back Swan” and one of the world’s biggest crypto skeptics – commented on social media that the volume chart for BTC, the world’s number one digital currency, has been in a downward spiral since late 2020.
Nicholas Taleb on How BTC is Easy to Manipulate
In other words, while the price has shown signs of recovery, the volume of BTC hasn’t, which could make the currency easier to manipulate and lead to other problems. Taleb stated:
When I said people lost interest in bitcoin, it was based on this. BTC volume is slowly disappearing, down >85 percent from the peak. This is how open Ponzis implode.
What he’s implying is that crypto manipulators and illicit actors will step into the industry and try to engage in rotten behavior as normal. However, when they choose to exit their schemes and cash out on their false earnings, this could wind up bringing the arena down more than normal given the volume is so low. With less BTC in circulation, the ripple effects will be harsher than most analysts might anticipate.
At the same time, not everyone shares this attitude, and there are others that disagree with Taleb and believe bitcoin is once again entering the bullish aura it experienced in 2021. For example, Cathie Wood of ARK Invest has commented that the price of BTC could wind up hitting $1.5 million by 2030.
She has commented in the past that bitcoin could largely do well if countries such as the U.S. are willing to consider proper regulations and do what’s necessary to implement the right laws to protect both traders and industry protocols.
For the most part, 2023 has been something of a recovery year for the world’s primary digital currency. While the price doesn’t compare with what bitcoin was experiencing two years ago, things are still miles above where they were in 2022, arguably the worst year on record for BTC. During that time, bitcoin lost more than 70 percent of its value, dropping from its late 2021 high of about $68,000 per unit to around $16,600 by the time 2022 ended.
Recovery is in the Books
Several altcoins also made things worse by deciding to follow in BTC’s footsteps. As a result, the crypto industry – which was valued at more than $3 million at the end of 2021 – dropped to less than $1 trillion. So much money lost in such a short period… It was truly a sad and ugly sight to see.
Now, the price of bitcoin is trading for just under $30K. Yes, there’s a lot of room for improvement still, but the idea that BTC could add close to $14K to its price in about nine months is a positive sign that life still beats in bitcoin’s heart.