The General Director of the investment company BKCM Brian Kelly is confident that the fall of bitcoin will be short-term. In the near future we are waiting for the resumption of the growth of the value of the main cryptocurrency, quotes the analyst CNBC.
Bitcoin began to fall in price last Wednesday, November 13. The decline in the cryptocurrency rate continues now, as a result of which bitcoin fell to an annual minimum. According to the top 100 Cryptocurrencies, currently the largest digital asset is trading at the level of 5.7 thousand dollars.
In the opinion. Brian Kelly, the drop in the value of BTC is directly related to the upcoming hard fork in the Bitcoin Cash network, which is to be held next Friday, November 15.
“Some traders believe that updating the software of the Bitcoin Cash network may not lead to an increase in the performance of BCH and BTC, but rather to a decrease in it. This scares investors, and they are massively selling their reserves in bitcoins, ” said the General Director of BKCM.
The market is now fixed increased concern in the light of hard fork Bitcoin Cash, which is why we are seeing active sales of digital currencies.
“I think that there is a high probability of the resumption of bitcoin growth in the near future. Our company is already beginning to make its first purchases, ” the expert added.
In the opinion of the strategic Director of CoinShares Mellema of Demirors (Meltem Demirors), together with the fall of bitcoin, we can observe a reduction in the liquidity of many cryptocurrency projects. Some startups will be forced to reduce their costs or even dismiss employees.
Reducing the liquidity of crypto projects can also lead to positive consequences for the market, as it will leave unreliable and little-known tokens. This will restore stability in the crypto sphere and attract new players, the expert believes.