If you are invested in cryptocurrencies, you would have started 2018 feeling on top of the world. Since then, the market has undergone a significant correction, and any long term investor will be familiar with the blow to the stomach that has been occurring on refresh of Coinmarketcap.com. At the moment, Coinmarketcap is similar to looking at an ex-girlfriend’s instagram; you know it’s going to hurt, but you can’t help but do it.
After a near 70% correction from all time highs, it can be increasingly difficult to stop focusing on the next hour’s movement in the charts, and step back and look at the bigger picture.
Ran Neuner, entrepreneur and the host of CNBC’s Cryptotrader, the world’s only crypto television show and recently rated 22nd most influential Blockchain insider, has encouraged his followers to do exactly that. Look at the big picture.
On February 4th, he reassured his followers by reminding them that in the past 12 months the market cap is up 20 times.
Worried that the market is crashing? Bear in mind that today we are at a market cap of $400bn and that the first time the crypto market hit $400bn was 6 December. So we are back at levels from 2 months ago. The market cap is also up 20x since this time last year.
— Ran Neuner (@cryptomanran) February 4, 2018
For recent investors in the space who may have lost a significant portion of their portfolios in the previous month, the lack of perspective can easily lead to uninformed and hasty decisions.
As well as an avalanche of unsavoury news regarding the cryptocurrency space emerging in the past few weeks, we also have experienced the Dow Jones’ largest ever point decline in a single day, and other major equities indexes are falling around the world. It would be naive to think that the cryptocurrencies markets would be unaffected by this turmoil.
At the end of the day, if you are investing in cryptocurrencies, you are investing in Blockchain technology. And when it comes to the technology, since the recent correction commenced, nothing about that technology has changed.
If you are as confident about Ran as the technology itself, you won’t be surprised to know that on 1st February, he tweeted his own prediction on bitcoin:
For the record, I am pinning this tweet. Bitcoin will finish 2018 at $50 000.
— Ran Neuner (@cryptomanran) February 2, 2018
Whether it reaches this target or not, one thing is for sure. Blockchain technology isn’t going anywhere, and if anything, this correction has been an incentive for investors to ensure that they are confident about the technology they are investing in.