Mobius Capital founder and veteran investor Mark Mobius has warned crypto traders against using the “buy the dip” strategy. He believes bitcoin’s price will continue to fall, with some temporary relief at $20,000.
Mark Mobius’ Bitcoin Price Forecast and Alert
Mark Mobius, the founder of Mobius Capital Partners, urged crypto traders against buying the plunge. He also revealed his bitcoin price estimate and prognosis.
Mobius was the executive chairman of Templeton Emerging Markets Group before launching his own firm. He joined Templeton in 1987 and oversaw portfolios worth more than $50 billion in emerging economies.
While conceding that some crypto traders have profited from the “buy the dip” technique in the past, he cautioned that it is not a strategy that will pay off while the market is still falling. The 85-year-old founder of Mobius Capital told the publication about buying the bitcoin slump in particular:
This time it will not work until bitcoin reaches $20,000, after which there may be a bounce, but the next objective will be $10,000.
Similar warnings have been made on social media, particularly after the collapse of Terra USD (UST) and terra (LUNA). UST has lost its peg to the US dollar and is now trading at $0.11, while LUNA is practically worthless.
“Terra Luna is a fantastic example of why you shouldn’t always ‘buy the dip,” said gold investor Peter Schiff. “Luna was down 98 percent yesterday. If you bought that dip assuming the crash would produce a terrific purchasing opportunity, you are now down 99.3%. Any cryptocurrency could be affected.”
Many bitcoin investors, on the other hand, are not purchasing the dip in order to profit quickly; instead, they intend to keep their BTC for the long term. Those that predict the cryptocurrency’s price will reach $100,000 this year, for example, are willing to buy at any price below that level.
Mobius has long been a skeptic of bitcoin. He warned the news organization in October that bitcoin “may really explode up,” and that it was a concern that central banks “should be paying attention to.”
In November, he warned individuals not to consider cryptocurrencies as an investment option. “It’s a way to speculate and have a good time.” But at the end of the day, you have to go back to stocks,” he explained.
Also Read: Ricardo Salinas Pliego: Warns of Dollar Inflation, Advising Investors to Buy Bitcoin to Save their Skin
Join our Telegram Channel to get the best notification regarding Pricing Prediction, Trading Analysis, News, Blogs, and interviews.
