The downtrend in the price of Bitcoin (BTC) after the peak season in April may worry novice investors. However, Meltem Demirors, chief strategy officer at CoinShares, believes that most of the old owners are not selling, which is a correction to get rid of panicked sellers.

In his speech on CNBC, Demirors stressed that Bitcoin is not going anywhere, and after 200 days of cryptocurrency market expansion, price drops are the norm. “You can’t have a number forever,” she added, saying:

“What we see is correction and reduction, and a lot of what is shaken are what we call paper hands, weak hands.”
“Paper hands” is a common term in the market for an investor who does not take high financial risks and starts selling as soon as the price of the asset starts to fall. This is the opposite of “diamond handwheel”, which simply means pressure-resistant stand.

Demirors mentions that the cryptocurrency market, excluding bitcoin, has grown 200% over the course of the year, and says that bitcoin has long been an unstable asset class. “I am not going anywhere, even if we go to $20,000. Last March, we got $3,000 per bitcoin,” adding, “We need to remember the connection.”

She said many unresearched retail investors are selling while long-term owners continue to wait, adding: “If we look at the activity on the network, portfolios that have been around for a long time have already taken advantage of this opportunity to accumulate.”

The glass assembly data supports Demirora’s view. Bitcoin addresses that are not selling coins have increased their holdings since their peak in April, according to the data.

Related: Bitcoin Drops Below $30K Due to 6-Month Recession: Look at the Following Price Support Levels

Demirors said it expects consolidation at current price levels with overall uncertainty. There is a lot of uncertainty about politics. There are also many negative headlines.

Meanwhile, Bitcoin is heading for its worst quarter since the start of the 2018 downtrend, according to crypto data aggregator Skew. Data shows that bitcoin fell about 46% in the quarter, the weakest quarter since the first quarter of 2018.

Source: CoinTelegraph