You are downplaying this.Bitcoins selling point according to the diehard community was as a store of value in a recession against the dollar, that myth has just been crushed.Its slow and useless as a currency.So where does that leave us?The real truth is that highly speculative assets are the first to be dumped in a recession, and btc is a highly speculative asset.btc 1k and below coming.
Huh? BTC is clearly a store of value. (That does not mean it is not also used for speculation, same as gold by the way). Best analogy of BTC is digital gold. So now, when other comparative assets are at better value, people of course will sell, in order to make use of that higher comparative value of BTC in USD, to buy stocks at a great discount. Should be pretty obvious. BTC has served its purpose. Same reason you are not seeing gold rallying last few days, People are cashing in, taking higher comparative value, and putting into into assets they see as being of more attractive value.
I am not a BTC or Gold bug by the way. I am largely focussed on income producing businesses (be it private equity, property, or equities). But I do have a little BTC and gold (less than 1% of net worth, although that ratio may have changes slightly with recent stock market declines).
Also, as I have explained before, they are possible future global (or country) scenarios, albeit not that likely, but certainly possible, where access to BTC will be of almost unimaginable value. Right now we are freaking out about a virus. Imagine for a moment a computer or internet virus, that literally sickens and disables banks... Zero access to electronic cash. Imagine what kind of a crisis (and demand for BTC) that would create. Many other far-fetched examples exist, but these "black swans" could really occur. BTC is your immunization and hedge in such cases.
