As market sentiment becomes extremely sensitive following the recent crypto market crash, cryptocurrencies have seen their prices drop significantly, with leading crypto assets returning to multi-year lows.
While the high market volatility has sparked fear among investors, many crypto experts, including Metaplanet’s CEO Simon Gerovich, believe it is time to go contrary and act against the looming fear seen across the crypto market.
Metaplanet's Gerovich quotes Buffet amid market fear
On Saturday, Feb. 7, the Metaplanet CEO sparked debate across the crypto market after quoting the long-time investor Warren Buffett as CoinMarketCap reported its Crypto Fear and Greed Index plunging into extreme fear levels.
The post, which urges crypto investors to be greedy when others are fearful and be fearful when others are greedy, has sparked discussions across the crypto market as it was shared alongside a CoinMarketCap Fear and Greed Index chart.
Earlier today, the crypto analytics platform reported its Fear and Greed Index declining to one of the lowest levels seen in recent months, indicating heightened panic among investors.
While this often coincides with heavy sell-offs and high volatility across the crypto market, it is no wonder Bitcoin has plunged as low as retesting $60,000, a level not seen in the past two years.
By quoting Buffet’s popular narrative, the Metaplanet CEO appeared to have considered the current crypto market downturn as a potential contrarian opportunity for holders to scoop up leading cryptocurrencies like Bitcoin and XRP at lesser prices.
CoinMarketCap Fear and Greed Index goes extreme
While Gerovich appears to be indirectly urging investors to remain resilient, the Metaplanet CEO attached charts showing repeated cycles over the past year where extreme fear zones coincided with market bottoms, followed by periods of recovery as sentiment normalized.
As such, the post has triggered confidence that plummeting assets will recover from recent downturns, posing massive gains for investors who have moved with greed at such a sensitive time.
This is reflected in Bitcoin’s current price, which has suddenly reclaimed the $70,000 level after retesting $60,000 amid the recent market crash.
Caroline Amosun
Godfrey Benjamin
Tomiwabold Olajide