Should you buy cryptocurrency after the flash crash?

Should you buy cryptocurrency after the flash crash?

Last week (December 3-10) reminded investors of the short-term volatility of cryptocurrencies. Bitcoin (BTC) fell from $ 53,000 to $ 42,000 in less than 12 hours on Saturday, December 3, before bouncing back to settle just below the $ 50,000 mark. There are three main reasons for this breakdown, and all of them indicate that it is temporary and the bull cycle is ongoing. Therefore, the current price is an attractive market entry point.

The uncertainty caused by the Omicron variant has had a negative impact on the markets around the world. Markets fell on news of the new variant in the US, with the Dow Jones Industrial Average falling 2.5% by the end of the day. This has spurred the risk elimination of many portfolios and helped fuel the collapse in the price of the cryptocurrency. Second, the US Federal Reserve announced that it would drastically expand its bond-buying program in order to contain rising inflation. Ultimately, the combination of the high leverage that has built up in the crypto markets over the past few weeks and the typically thin weekend liquidity has exacerbated the situation. What could have happened was a much smaller crash, made worse by liquidating leveraged positions on a self-sustaining cycle, liquidating over $ 2 billion in long positions last weekend.

The cause of flash problems can be summarized in one word: “unsafe”. While the above reasons are cause for concern, none of them point out any medium to long term risks that will affect the overall surge in the crypto market. As Warren Buffet once said, “Be fearful when others are greedy and be greedy when others are fearful”. Currently, more bitcoins are leaving exchanges than exchanges. This supply-demand discrepancy is a possible sign of a building supply downturn, triggering a resurgent bull run.

Market uncertainty and high volatility are inherent features of the cryptocurrency market. The average investor does not have time to do thorough research and allocate capital for cryptocurrencies. That is why Invictus Money created a professionally managed crypto index fund called Crypto10 Hedged (C10).

C10 offers you exposure to the top 10 cryptocurrencies by market capitalization and protects against market corrections with a dynamic USD cash hedge. Over the past week, BTC has fallen 11%, Ripple has fallen 18.5% and LTC has fallen a staggering 23%. Meanwhile, C10 Hedged holds a significant amount of cash reserves that has only declined 2% and is quickly moving back to a crypto-dominated portfolio. By getting in and out of profitable cash positions at the right time, C10 aims to sell high and get back into the market to hedge the downward move and increase profits.

Invest in C10 today for passive exposure to the crypto markets, knowing that C10’s dynamic cash hedge will support you should the market fall. With a management fee of just 1.7% and an annual return of 338%, C10 Hedged is the perfect index fund for new and seasoned investors looking for exposure to the crypto markets with no problem, realigning their portfolios and trying to correct the market, or the selection of certain crypto assets.

Potential investors can create an Invictus account here, visit the website for more information, or make an appointment with a funds specialist. Alternatively, you can contact sales directly at +1 (345) 769-7491 from 7:00 a.m. to 4:00 p.m. GMT.

Should you buy cryptocurrency after the flash crash?

Should you buy cryptocurrency after the flash crash?

Last week (December 3-10) reminded investors of the short-term volatility of cryptocurrencies. Bitcoin (BTC) fell from $ 53,000 to $ 42,000 in less than 12 hours on Saturday, December 3, before bouncing back to settle just below the $ 50,000 mark. There are three main reasons for this breakdown, and all of them indicate that it is temporary and the bull cycle is ongoing. Therefore, the current price is an attractive market entry point.

The uncertainty caused by the Omicron variant has had a negative impact on the markets around the world. Markets fell on news of the new variant in the US, with the Dow Jones Industrial Average falling 2.5% by the end of the day. This has spurred the risk elimination of many portfolios and helped fuel the collapse in the price of the cryptocurrency. Second, the US Federal Reserve announced that it would drastically expand its bond-buying program in order to contain rising inflation. Ultimately, the combination of the high leverage that has built up in the crypto markets over the past few weeks and the typically thin weekend liquidity has exacerbated the situation. What could have happened was a much smaller crash, made worse by liquidating leveraged positions on a self-sustaining cycle, liquidating over $ 2 billion in long positions last weekend.

The cause of flash problems can be summarized in one word: “unsafe”. While the above reasons are cause for concern, none of them point out any medium to long term risks that will affect the overall surge in the crypto market. As Warren Buffet once said, “Be fearful when others are greedy and be greedy when others are fearful”. Currently, more bitcoins are leaving exchanges than exchanges. This supply-demand discrepancy is a possible sign of a building supply downturn, triggering a resurgent bull run.

Market uncertainty and high volatility are inherent features of the cryptocurrency market. The average investor does not have time to do thorough research and allocate capital for cryptocurrencies. That is why Invictus Money created a professionally managed crypto index fund called Crypto10 Hedged (C10).

C10 offers you exposure to the top 10 cryptocurrencies by market capitalization and protects against market corrections with a dynamic USD cash hedge. Over the past week, BTC has fallen 11%, Ripple has fallen 18.5% and LTC has fallen a staggering 23%. Meanwhile, C10 Hedged holds a significant amount of cash reserves that has only declined 2% and is quickly moving back to a crypto-dominated portfolio. By getting in and out of profitable cash positions at the right time, C10 aims to sell high and get back into the market to hedge the downward move and increase profits.

Invest in C10 today for passive exposure to the crypto markets, knowing that C10’s dynamic cash hedge will support you should the market fall. With a management fee of just 1.7% and an annual return of 338%, C10 Hedged is the perfect index fund for new and seasoned investors looking for exposure to the crypto markets with no problem, realigning their portfolios and trying to correct the market, or the selection of certain crypto assets.

Potential investors can create an Invictus account here, visit the website for more information, or make an appointment with a funds specialist. Alternatively, you can contact sales directly at +1 (345) 769-7491 from 7:00 a.m. to 4:00 p.m. GMT.

Visited 59 times, 1 visit(s) today

Leave a Reply