MicroStrategy CEO: There have already been three bear markets in the last 24 months

Home / MicroStrategy CEO: There have already been three bear markets in the last 24 months

According to MicroStrategy CEO Michael Saylor, bitcoin’s short-term volatility doesn’t matter if users don’t understand the fundamentals of the leading cryptocurrency and how difficult it will be to create something better.
“Bitcoin is the most reliable thing in a very volatile world, it’s more reliable than the other 19,000 cryptocurrencies, more reliable than any stock, more reliable than owning real estate anywhere in the world,” Saylor said.
He added that people who have spent $100 on bitcoin can say all sorts of things about cryptocurrency, but noted that otherwise they just “have nothing to say about it.”
Saylor’s company holds about 129218 BTC and officially added the asset to its balance sheet in August 2020.
“I don’t know if it’s a bear market or not, but if it’s a bear market, we’ve had three in the last 24 months,” he noted.
In April 2021, the price of bitcoin rose to $60,000, and by July 2021 it had fallen to about $31,000 before hitting a record high of $69,000 in November 2021.

Saylor said he prefers not to pay attention to short-term prices and added that people who often watch the charts are “guessing at coffee grounds.”
“If you’re not planning to hold bitcoin for four years, you’re not an investor, you’re a trader, and my advice to traders is don’t trade it, invest in it,” Saylor said.
One of the main reasons bitcoin and other cryptocurrency prices fell in May was the collapse of TerraUSD and Luna (LUNA).
However, despite the collapse of an entire ecosystem, Saylor argues that bitcoin is a worthwhile reserve asset.
He noted that with reasonable leverage, Terra would have avoided risk. He gave the example that a billion dollar reserve in bitcoin and a $50 million issue of Stablecoin could have saved the situation.

The problem with Terra, he said, was not so much the idea of bitcoin ownership, but that they had too many outstanding TerraUSD.

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