Bitcoin experienced a significant drop over the weekend, which does not worry Anthony Pompliano at all.
The influencer and founder of Morgan Creek Digital Asset and Pomp Investment expressed his thoughts in a tweet:
Bitcoin’s price has fallen all the way back down to a 50% year to date return in 2021.
Yes, the digital currency is still up 50% in dollar terms in the last 58 days.
— Pomp 🌪 (@APompliano) February 28, 2021
Bitcoin reached a record high of $58,000 a few days ago, but from there a reverse gear was set in motion which led BTC to lose value. It is currently at $46,000, but over the weekend it reached as low as $43,000.
This steep drop has probably caused panic among those who are only just starting to enter the world of Bitcoin, but the more experienced have not wavered.
Anthony Pompliano: Bitcoin at +50% YTD
That’s because, as Anthony Pompliano explains, Bitcoin is still posting a 50% gain since the beginning of the year. In fact, Bitcoin opened 2021 with a value close to $30,000, so the current $46,000 constitutes a 50% increase.
In the words of Pompliano, “Everyone relax”, because the price of BTC is still bullish over the medium term.
After all, Bitcoin’s decline was an expected event. Since December, the queen of cryptocurrencies has staged a rally that has seen it break new records every day, from the historic one of $20,000 to the peak of $58,000 in about three months.
These climbs require corrections, which in some cases can lead to violent retracements, like the one this week.
In any case, Bitcoin now seems more solid than ever, as it has on its side a considerable increase in demand from institutional and retail investors. Added to this is the scarcity of supply, as Bitcoin’s algorithm is designed to put no more than 21 million pieces into circulation.
It is also because of these factors, which in the long run will help support the price, that probably in recent days, Anthony Pompliano tweeted:
“If you liked Bitcoin at $58,000 then you should love it at $44,000”.