Bitcoin price recently saw a $2,000 correction after months straight of surging. At the start of the selloff, signs pointed to profit-taking as the primary reason for the pullback. However, after greed turned to fear, big-money investors have begun buying the blood right out from under investors who are panic-selling the cryptocurrency at a loss.
Here’s why this is incredibly bullish for Bitcoin and what this could mean for a new uptrend taking hold.
Bitcoin Whales Buy The Blood As Small Time Investors Panic Sell At a Loss
The crypto market has been on fire in 2020, and although other crypto assets have outperformed Bitcoin, it too has done well for itself.
Bitcoin remains the most profitable mainstream investment of the year next to gold, stocks, and anything else. But a recent over $2,000 crash turned the ultra greedy market into a fearful one.
Related Reading | This Accumulation Pattern Suggests Bulls Are On The Right Side Of Bitcoin
Contrarian investing strategies recommend selling when markets are at peak greed and then buying when most fearful. That strategy would have proven well over the last few weeks when the crypto market Fear and Greed Index reached record highs.
Smart money investors taking profit caused the selloff initially, as depicted by the green moving profit average below. But smart money may now be buying the “blood in the streets” as contrarian Baron Rothschild suggested.