Bitcoin: The Ideal Time To Buy, According To A Financial Expert

Every drop is a drama, every rise a revelation in the crypto universe. For Quinn Thompson, Chief Investment Officer at Lekker Capital, the recent 6% drop in Bitcoin is not just a mere hiccup, but indeed a strategic opening. While volatility makes some tremble, others, like Thompson, see a unique opportunity to buy before the next rebound. In this article, we will explore why this drop could well be the window of opportunity that every savvy investor needs.

A drop that defies previous models

At first glance, seeing Bitcoin plunge by 6% might discourage newcomers. Yet Thompson, with his seasoned analyst’s flair, perceives in this movement a clear break from usual trends.

What he calls a “clear invalidation” of past patterns shows that this correction is unlike the others. Bitcoin is currently trading around $61,000, a figure that for some might evoke caution, but for others represents a wide-open door to accumulate more BTC.

In his analysis, Thompson recalls a significant event on March 5, 2023, when Bitcoin reached an all-time high of $73,700. At first glance, the current decline might seem to follow a similar trajectory, but what distinguishes this moment is the speed of the observed rebound.

This latter is often a powerful indicator: where other drops stall, this fall seems to be the start of a rapid return to higher levels.

Technical indicators, like the 200-day moving average, support this thesis. Usually, falling below this threshold is a sign of weakness, but here, the rapid rebound shows that the dynamic might well have changed.

For Thompson, there is no doubt: the current macroeconomic context, constantly evolving, is shaping a new scenario for Bitcoin. And if, this time, we were on the verge of a historic turning point?

A global context that favors Bitcoin

Beyond simple charts and technical trends, the Bitcoin market also reacts to global events. Geopolitical tensions, notably in the Middle East, have triggered a wave of uncertainty in traditional markets.

As Iran intensifies its military actions against Israel, investors are nervous and risky assets, like Bitcoin, have temporarily wavered. However, this volatility should not be interpreted as weakness, but rather as an opportunity for those who know how to read between the lines.

Geopolitical crises, as disastrous as they may be on a human level, often have a paradoxical effect on markets.

Safe-haven assets, such as gold, surge, but bitcoin, as an emerging store of value, could very well follow this trend as the crisis deepens.

Concerns about the U.S. economy and political stability ahead of elections add another layer to this complexity.

Many investors are beginning to question the solidity of traditional assets, and this could well favor Bitcoin, perceived by some as a hedge against inflation and economic turmoil.

Maksim Balashevich, founder of Santiment, shares a similar view to Thompson. He observes that mentions of “Uptober” — a nickname given to October for its historic upswing in the cryptocurrency realm — have dropped on social media.

This could mean that investor enthusiasm is waning, a perfect condition for an unexpected rebound. As the saying goes, it’s when everyone is giving up that it’s often time to buy back. Some hope to see a supercycle for bitcoin’s price.