By Michael Scott
Legendary expert Ash Crypto suggests investors deserve the bull run as Bitcoin hit $89,000 for surviving the adverse SEC enforcements and a prolonged bear market.
Crypto assets have since Donald Trump’s triumph over Kamala Harris sustained upward momentum. Bitcoin leads the tremendous surge with jaw-dropping gains, climbing 31% from $68,357 to set an all-time high (ATH) at $89,864.13 in a week.
Following the Grand Old Party (GOP) victory, the premier asset is shifting the ATH daily, with the record shattered in early Tuesday trading to $89,860. Expectedly, the 10.9% intraday gain in Bitcoin performance positively impacts the altcoins as both Ethereum and Solana registered substantial gains of 7.7% to $3,379.01 and 6.2% to $220 respectively.
The global crypto market cap is 8.1% up in the past 24 hours to $3.15 trillion. Dogecoin realized a 48% gigantic leap to change hands at $0.411 lifting the market cap to $60.250 billion, CoinGecko data shows. The 145% surge in DOGE price since Trump’s victory to trade above $0.40 was last witnessed in June 2021.
Are Current Gains Deserved for Crypto Investors?
Ash weighed into the prevailing rally witnessed across the crypto space suggesting it rewards investors for surviving multiple setbacks that eroded their investment’s value. The expert outlines the nine events behind the downturn that wreaked havoc across the crypto market to justify why investors deserve the latest pump.
If you have survived
— Ash Crypto (@Ashcryptoreal) November 11, 2024
– BTC crash from $69k to $15.4k
– LUNA to $0 by Do kwon
– 3AC going from $18bln to $0
– Celsius and voyager bankrupt
– FTX / FTT Meltdown
– USDC de-peg
– Binance bank run
– CZ stepping down
– SEC suing everyone
– 2 year bear market
You deserve this pump.
Bitcoin Plunge From $69,000 to $15,400
Ash considers the massive plunge of Bitcoin price from the Q4 2021 peak of $69,000 to $15,400 in Q1 2023 a blood bath for crypto investors. The price crash indicated the inability of the asset to sustain the bullish momentum as it confronted heavy selling pressure that accelerated its devastating collapse to $15,400.
Terra Ecosystem Collapse
Ash Crypto considers the Terra crisis witnessed in May 2022 as a bearish event that aided in destroying the broader crypto market. In particular, the Terra collapse emerged after the native stablecoin Terra USD (UST) lost the dollar peg. The occurrence affected the tokens’ value within the ecosystem, the worst hit being LUNA from $119.8 to nearly $0.
3AC Plunge into Bankruptcy
Ash highlights the Three Arrows Capital decline into bankruptcy, a key event that devastated the crypto market. The strained financial position occurred in 2022 as the crypto space witnessed a cold winter. The resulting massive sell-off witnessed across major crypto assets eroded the 3AC’s valuation from $18 billion to $0. The incident triggered a ripple effect as other lenders with links to 3AC were entangled in the devastating event.
Voyager and Celsius Plunge into Bankruptcy
Ash Crypto illustrates that the 3AC crisis snowballed into dragging along Celsius and Voyager Digital. The crypto lenders were affected owing to their links to 3AC. The incident prompted Celsius Network to seek Chapter 11 Bankruptcy protections as crypto prices plummeted.
FTX Collapse and FTT Meltdown
The crypto investors were caught flat-footed by the sudden implosion of Sam BankmanFried’s FTX exchange in November 2022. As a leading crypto exchange, the FTX meltdown sent the native token FTT crashing.
The FTX collapse emerged from mismanagement of clients’ deposits in a process championed by now-convicted founder Sam Bankman-Fried (BSF). It sent shockwaves given the FTX’s dominance and intertwined investments in the crypto market. In particular, Solana (SOL) would crash to exchange below $10 eroding a billion-dollar fortune from the market.
USD Coin (USDC) De-Pegs
Ash believes the de-pegging of USD Coin stablecoin (USDC) triggered the crisis that most investors’ portfolios witnessed in 2023. The loss in USDC value emerged from the sudden Silicon Valley Bank (SVB) implosion in 2023 leaving the stablecoin unable to sustain 1:1 parity to the dollar. The lower USDC value triggered concerns among crypto investors.
Binance Bank Run and ChangPeng Zhao Exit
Ash lists the bank run witnessed in Binance as negatively impacting the crypto investors. The netflows barely $1B daily emerged after the US Justice Department leveled criminal charges against crypto exchange Binance.
The exchange downplayed the concerns of a potential bank run in a disclosure that it held over $67B. The legal woes worsened as Zhao exited the chief executive role in a plea agreement that handed him a four-month jail term.
SEC Enforcement Actions
The Gary Gensler-led Securities and Exchange Commission (SEC) has continually deployed enforcements targeting multiple crypto entities. Leading crypto exchanges Coinbase and Binance joined Ripple Labs as victims of the SEC actions. As such, crypto prices reacted negatively to the high-profile SEC lawsuits as investors appeared concerned over the regulatory restrictions.
Two-Year Bear Market
Ash demonstrates that the market plunged into a cold winter with asset prices plummeting heavily. The above-mentioned events plunged the crypto market into a two-year bear market as investors bore losses of enormous value.
Ash notes that the investors who exercised resilience despite the adverse conditions deserve to leap in the ongoing crypto uptrend.