In cryptocurrency markets, the “bear market” is often associated with a very negative sentiment, with great fear and selling pressure. However, the chaos and uncertainty brought by the crypto winter is trying to be turned into an “advantage” by some investors and traders.
Ninepoint Digital Asset Group manager who voiced an opinion on this Alex TapscottIn a statement to Cointelegraph, he explained that “bear markets are the right time to build something in the crypto world.” Pointing out that he looks beyond the transaction prices in the markets and looks at the fundamentals underlying the technology, Tapscott detailed his view with the following words:
“Crypto winters are often times when we look deeper and understand the times when we are building something for the future and trying to do something. The last bear market has brought us the NFT revolution, decentralized finance, stablecoins and play-to-win game projects.”
According to the manager, the bear market we are experiencing right now can help us understand the full potential of the Web3 world. For example, decentralized finance (DeFi) could grow further, strengthening its alternative to the financial system. According to Tapscott bitcoin if it’s the first spark of a revolution against financial services, DeFi is another spark that takes this one step further. As the sparks spread, it will surround the institutions and organizations that cannot keep up with the innovation and bring their end.
The manager also highlights decentralized autonomous structures (DAO) and thinks that important developments should be continued in this sector as well. Tapscott said DAOs will support companies as a way to organize resources.
As Koinfinans.com previously reported, as a result of the bear market, the total market value of 2 trillion dollars was badly damaged and regressed to around 800 billion dollars. This decline was interpreted by the mainstream media as a “death warrant” and other developments other than the price were ignored.
Before he concludes, “the most successful people in crypto are those who can stay calm and move on. I do not know when this bear market will end, but I am extremely confident that it will end like the others,” the manager also said, and invited investors to remain calm.
The manager also said that if investors look at the short-term time frame, cryptocurrency pricesHe stressed that the downward spiral of . But Tapscott also said the pain may end as investors appear to have cooled off.
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.