Amid the recent U.S. thanksgiving dip to $16,000, the crypto market went on a whirlwind lose as news emerged that the Chinese government has seized cryptocurrencies worth $4.2 billion, as part of the Plustoken Ponzi scheme court proceedings. With continuous Bitcoin price drops within this week followed by the staggering highs, the crypto market has panicked traders with fear, uncertainty and doubt. Meanwhile, Dermot McGrath, the head of blockchain investment firm at Sino Global Capital, says that their team is looking at the cryptocurrency in terms of the longer road ahead rather than on momentary trending stories.
Sino Global Capital CEO Says No FUD For Bitcoin
Earlier this week, the price of Bitcoin dropped down to around $16,000. The crypto community was quick to speculate that these tokens were actually intended to dump on the open market. Consequently, that would have caused the price of the cryptocurrency to drop further lower.
However, the CEO of Sino Global Capital, Matthew Graham, says that most of the Bitcoins from the Plustoken Bitcoin have been actually sold.
hmm my interpretation was *mostly* sold but yes, there’s no need for FUD, agree https://t.co/NAq5iSRoXz
— Matthew Graham (@mattysino) November 27, 2020
Even though, whether or not the cryptocurrencies have been actually sold or not, McGrath says that crypto traders need not put attention on short term trending stories and make investment decisions based upon it.
Bitcoin Has Longer Road Ahead
In an interview with Cointelegraph publication, McGrath stressed on the importance of looking ahead while cutting out through the noise.
He even emphasized that the crypto traders in the west are spooked out by crypto miners in China. Speculations are further making rounds that miners in China could conduct a 51% network attack that could impact the control of the Bitcoin supply. He adds to this saying:
“In theory, of course we know that 51% attacks can occur, but the level of centralization/coordination and incentives simply does not exist among the Chinese miner community for top cryptos.”