Relax Crypto Investors, Amazon Needed 8 Years to Recover as Bitcoin Price Looks to Rebound Faster

The bear market is more than just a small trend now, it is a real crash. So far, two things are certain: there was a clear “Bitcoin bubble” forming at the end of 2017 which was created by pure hype and Bitcoin has survived it.

Despite the market prices going down and down, it is clear that Bitcoin has survived the crash, as it has finally reached the prices that were in the market before the bubble crashed but it does have some stable community around it. Bitcoin is not going to die, but the bear market is real and nobody knows when it’ll end. has recently quoted Fred Wilson recently in which was a very clear sight of what the Bitcoin market is going to become. According to Wilson, a relevant venture capitalist in the financial market, crypto could go even more down in USD terms now and the bear market can even last some more months, but investors who really believe will be satisfied in the long term.

He cites Amazon, which participated in the Dot Com bubble crash of 1999 and it took eight years to actually go up again. According to him, because crypto prices are down from 80 to 95 percent since December 2017, they look a lot like the post-bubble Amazon.

Amazon was also down 80% and it suffered in the bear market, reaching rock bottom almost two years after it peaked. According to Wilson, “they kick you when you are down”, so we are still away from seeing Bitcoin at its worse stage.

About Amazon’s Bear Market

Amazon is huge in 2018. It is currently the second largest tech conglomerate in the whole world. It’s only behind Apple with a stock price of $1,500 USD. However, its stock was worth $6 USD less than 17 years ago when the company hit rock bottom. If you bought Amazon stocks in 2001, you got 250 dollars for each one you invested. That’s right. If you spent only $1,000 USD, now you would have 250,000 USD worth of stocks.

At the height of the Dot Com bubble, Amazon’s stock price reached $90 USD. It then went to collapse to $6 USD and then went up again to $90 in 2007. Patience paid out.

Cryptos, Wilson defends, will continue to see these rallies and crashes for some years. According to him, that is somewhat normal when you still have markets that are not fully developed. An asset class at its infancy is a lot more vulnerable for bubbles.

Therefore, his bet is that the most important crypto assets, the ones which will survive, will get up again, possibly just like Amazon did. He affirms that things will get a lot worse before they are better and that many coins will die, but that the investors who choose the right ones will make a hefty profit some years down the road.

A Promising Future?

While it is certainly a risky game with a payment that will only come after years, Wilson believes in a promising future and that the time to buy cryptos is now. After all, they are not that much far from rock bottom and, even if they lose value now, they will get money later.

With companies like Fidelity and other conglomerates entering the market, crypto will start to be a more serious business now and more companies will slowly start to create real value here.

Bitcoin and Ethereum are making efforts to survive and there are some serious chances that the future may, indeed, be bright. It is important, he affirms, to be calm and to evaluate the market with real evidence, but everything points out for a good future for Bitcoin (while Ethereum’s future is less certain, as there are more competitors).

In any case, do not be too afraid of the bear market. The crash has happened, prices may still fall a bit but Bitcoin and its market are far from being dead.

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