Veteran investor Mark Mobius, founder of Mobius Capital, has warned cryptocurrency traders against using a “buy the dip strategy.” He expects bitcoin’s price to further, with some temporary relief at $20,000.

Warnings from Mark Mobius and his Bitcoin Price Prediction

Mark Mobius, founder of Mobius Capital Partners, warned cryptocurrency traders against buying the dip in an interview with Financial News on Friday. He also shared his price prediction and future outlook for Bitcoin.

Before founding his own company, Mobius was Executive Chairman of Emerging Markets Group. He joined Templeton in 1987 and manages an emerging markets portfolio of over $50 billion.

He acknowledged that some cryptocurrency traders had successfully used the “dip-buying strategy” before, but stressed that this strategy would not work while the market still has some way to go. The 85-year-old founder of Mobius Capital told the publication when commenting on buying Bitcoin specifically:

This time it won’t work until Bitcoin hits $20,000, from there it might bounce back, but $10,000 will be the next target.

Some on social media expressed similar warnings, especially after the collapse of terrausd (UST) and terra (LUNA). UST lost its peg to the U.S. dollar and is currently trading at $0.11, while LUNA is almost worthless.

“Terra Luna provides a perfect example of why you shouldn’t always ‘buy the dip,'” gold bug Peter Schiff tweeted on Thursday. “Luna was down 98% yesterday. If you think the crash created a good buying opportunity, you’re 99.3% down today. This can happen to any cryptocurrency.”

However, many Bitcoin investors are not buying the dip for quick profits. They plan to hold BTC long term. For example, those who think the cryptocurrency price will hit $100,000 this year are happy to enter at any price below that target.

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Mobius has long been a Bitcoin skeptic. In October, he told the news outlet that cryptocurrencies were “really going to explode,” stressing that this was a risk central banks “should be watching.”

In November, he advised people not to view cryptocurrencies as a means of investment. “It’s a form of speculation and fun. But you have to go back to stocks at the end of the day,” he said.

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bitcoin, bitcoin bottom, bitcoin down, bitcoin price prediction, buy the dip, buy the dip, cryptocurrency, cryptocurrency price prediction, cryptocurrency, mark mobius, mobius capital, senior Investor, Senior Trader

What do you think of Mark Mobius’ warning? Let us know in the comments section below.

Kevin Helms

As an Austrian economics student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects, and the intersection between economics and cryptography.

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