Saylor Makes Case for Cheap Bitcoin, Citing Institutional Support and History of Drawdowns
Bitcoin has lost half its value since October, sliding from record highs to trade below $100,000. Michael Saylor, founder of Strategy and a prominent Bitcoin proponent, sees this as a normal correction.
Saylor points out that Bitcoin has experienced more severe drawdowns in the past, such as a 75% collapse in 2021-2022. He argues that this current slide barely registers by comparison.
Saylor's pitch is not focused on price action, but rather on the underlying fundamentals and institutional support for Bitcoin. He cites the growth of institutions holding Bitcoin, with roughly 100 ETFs now managing over $100 billion in combined assets.
He also highlights the increasing dominance of Bitcoin within the crypto market, which has climbed back to around 68%. Saylor compares this to Amazon's early days, when conventional investors dismissed its retail model as unviable. He believes that Bitcoin will eventually experience a similar shift in perception.
Skeptics argue that Saylor's views are biased due to his company's large Bitcoin position and the fact that his predictions have moved markets in the past. However, they acknowledge that the underlying claim of increased institutional support for Bitcoin is at least measurable.