Crypto.com CEO Says Bitcoin Price Correction is Healthy

In the last four weeks, Bitcoin’s (BTC) price has rallied significantly, rising to as far as $72,000. Within one week, the leading digital asset by market capitalization registered more than 7%. Cumulatively, the price of Bitcoin has surged by over 150% compared to this period last year. The positive momentum coupled with some metrics, led several market analysts to predict a higher market value for BTC in the coming months.

Bitcoin Rally Attributed to Spot Bitcoin ETF Inflows 

Kris Marszalek, the CEO of Crypto.com attributed the Bitcoin price rally to the huge inflows going into spot Bitcoin ETFs that were approved by the United States Securities and Exchange Commission (SEC) in January. “This is a very successful product,” the Crypto.com CEO said. “There is a problem of supply, so it has to be reflected in the price.”

The inflows registered by the spot Bitcoin ETF market truly underscore Marszalek’s speculation. Many of the newly launched Bitcoin ETFs are doing so well that they recently outperformed gold ETFs.

Bitcoin Price Plummet to $67K

The new turn of events is that the Bitcoin price has sunk to around $65,000. CoinMarketCap data precisely shows that at press time, BTC was trading at $67,946.74 with a 0.65% plunge in the last 24 hours. While other crypto enthusiasts are concerned about the significant drop in value, Marszalek believes that the current price correction is “healthy.”

He strongly believes that the market is having a recurrence of the December 2020 or January 2021 stage of the last cycle. The crypto boss described the current correction as a healthy move that eliminates a percentage of the leverage built on the system and prevents aggressive price spikes.

Bitcoin is a Long-term Investment 

In Marszalek’s opinion, Bitcoin should be held for decades as a long-term investment, “not days or weeks.” 

Therefore, the price correction is a way to encourage steady capital flows into BTC and even the entire crypto industry. If it happens as expected, there is a possibility that it would “allow us to have a run of about 12 to 18 months,” Marszalek predicted. 

This proposed approach is gradual and promotes sustainability to a large extent.