Among the early investors in Bitcoin (BTC), the “HODL” strategy was popular, implying the retention of the BTC by all means, even in the event of a drawdown, because after them there always followed a steady rise, confirming the correctness of this strategy. As a result of the last such rally, the rate of the largest crypto currency reached record heights in the region of $20,000.
Nevertheless, at the beginning of 2018 followed by a sharp fall in the rate of BTC, which became a bad sign for the “trailers”. Of course, there remains a high probability of a new rally to record heights this record or next year, however, due to extremely high volatility, it was quite easy to get a quick profit (or suffer equally rapid losses).
However, we cannot say that this is a bad sign for the bitcoin itself. Despite the fact that the initial, sometimes blind, belief in BTC is decreasing, and people who have long kept the crypto currency, decided to make a profit, bitcoin itself is growing as a currency, thanks to the fact that funds are beginning to spread among a wider range of people.
Interest in bitcoin has not diminished, rather, against the background of volatility, the popularity of speculation has increased again (leading to even greater volatility). The supporters of the majority of HODL have not changed – the general approach to the crypto currency has changed.
Positively or negatively it will affect the financial system – is still unknown. In any case, we can say with confidence that the coming months will be key to the future of bitcoin and other cryptocurrencies.