Investment Strategist Lyn Alden Calls $20,000 BTC “Super Deep Value”
Highly respected equity research analyst and investment strategist Lyn Alden says that Bitcoin falling to around $20,000 would represent “super deep value” for investors.
On May 14, during an interview on the Blockware Intelligence podcast, Alden argued that Bitcoin’s recent price drop below $30,000 represents a buying opportunity for investors who can capitalize for the long term. She argued that Bitcoin at an average price of $20,000 offered substantial value by a number of metrics.
Like reported by The Daily Hodl, says Alden,
I think this $20,000 zone is a very deep value. When you look at things like dormant stream, a bunch of different indicators on the channel are kind of deep value.
Although Alden said she was unable to pinpoint Bitcoin’s exact low price, she argued that $BTC has entered an attractive price range for long-term investors. She encouraged investors to use dollar cost averaging or current price stratification, saying it was “a good place to do it.”
The macro strategist warned that trying to catch the market bottom was “a kind of fool’s game”.
Alden pointed to Tether’s struggle to stay pegged to $1 and the subsequent rally as a potential indication of the market bottoming. She argued that the Tether peg represents a “sign of liquidity” and that the price of the stablecoin fell when too much liquidity was sucked from the market.
Alden also claimed that $USDT’s price rally could indicate that “the worst is behind us,” but told his interviewer that “it’s hard to say for sure.”
On May 2, during an interview on the “What Bitcoin Did” podcast, Alden argued that Bitcoin’s biggest competition in the crypto race would come from central bank digital currencies (CBDCs).
Alden, which provides equity research and investment strategies for clients, called the digitization of money “inevitable” and said the main question facing the market would be which asset would become dominant. Alden noted that Bitcoin was the most likely candidate to overcome its shortcomings and achieve long-term success, including resisting the influence of government control.
Like reported per The Daily Hodl, Alden said:
“It ticks a number of boxes, and even the boxes that it doesn’t are poised to be ticked as technology improves and it becomes more and more prevalent, and it gets better. So I think longer term, I think Bitcoin… You can call it the fastest horse in the race.“
Despite calling Bitcoin the most dominant crypto-asset, Alden cautioned investors against allocating 100% of their portfolio to Bitcoin. However, she said it was “a stupid thing” not to have Bitcoin at the time.
Alden also highlighted Bitcoin’s legitimate use cases as advantages over stocks:
“ thinking in addition to being an investment, in addition to being a savings, [Bitcoin’s] also insurance. It gives you that option in a way other assets don’t.“
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The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading crypto-assets involves the risk of financial loss.
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