Bitstamp Hourly BTC/USD Chart. Data: Trading View.
Deutsche Bank strategists believe that the case for bitcoin as «digital gold» fell apart. Cryptocurrency did not become a safe haven amid falling stock markets, physical gold «behaved better» in this regard.
Bitcoin is more like diamonds — «high-market asset», based mainly on marketing, Lyabur and Pozdnyakova noted. They recalled that in the 1950s, the largest player in the market, De Beers, managed to change the consumer attitude towards precious stones with an advertising campaign.
«By selling an idea, not a product, they have built a solid foundation for the $72 billion a year industry that has dominated the past 80 years. What is true for diamonds is true for many goods and services, including bitcoin», the experts said.
They also pointed out some of the problems that have gripped the digital asset market in recent weeks, including the financial failure of some hedge funds and crypto lenders.
Experts believe that the recovery of the crypto market is difficult «lack of common valuation models similar to those existing in the public capital system».
< p>«In addition, the crypto market is highly fragmented. The fall may continue due to the complexity of the system», Deutsche Bank strategists added.
Recall, according to Arcane Research researchers, the potential for a decline in the price of bitcoin remains to $10,350.
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