While the value of the most popular cryptocurrency Bitcoin declined to its lowest point of the year so far, it managed to recover from its price drop slightly. However, experts aren’t counting out the possibility that the value of cryptocurrencies might drop even lower and continue their descent. But experts believe there’s still hope, especially for short-term investors.

In an interview with CNBC, Blockchain Capital partner Spencer Bogart explains that hundreds of new crypto hedge funds were formed back in 2017 when the price of cryptocurrency was still peaking. Bogart stresses that many of these funds are starting to hit their “one-year lock up.” Given that the price of many cryptocurrencies had dropped to more than half its value, it’s likely that most providers of these funds will be looking to sell. “That means forced selling on behalf of all of these new crypto funds,” Bogart added.

That said, Bogart believes this will make the price of cryptocurrencies “artificially lower.” Despite the possibility of Bitcoin continuing its descent, Bogart thinks it is ill-advised for investors to wait before buying.

Bogart expressed:

“Most people that are going to wait for lower prices will end up paying higher prices than they are today.”

Furthermore, the Blockchain Capital partner believes that the current price of Bitcoin is “pretty good” for short-term investors.

Bitcoin’s value had dropped to as low as $5,826 on June 24 but has recovered to over $6,000 since then.

The price of cryptocurrency might have reached its lowest this year. But some believe that nothing is unusual about the erratic behavior of cryptocurrency prices. In an interview with Independent, analyst Matthew Newton explained one reason behind the price volatility of cryptocurrency. He said:

“The reality is that emerging technologies carrying radically new ideas will always see swings in their value.”

However, Newton believes that market adjustments “can help to stabilize prices and move the industry towards a more robust, sophisticated regime,” which is “good for the long-term future of blockchain and [cryptocurrencies].”

Experts Believe Cryptocurrency Prices Could Drop Even Further was originally found on [blokt] - Blockchain, Bitcoin & Cryptocurrency News.

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