How does capitulation affect the finance of digital currencies?

1 answers

• marcoDec 21, 2020 · 4 years ago
  At BYDFi, we believe that capitulation can have both short-term and long-term effects on the finance of digital currencies. In the short term, capitulation can lead to a decrease in the price of digital currencies, as panic selling drives down demand. However, in the long term, capitulation can create a healthier and more stable market by shaking out weak hands and allowing stronger projects to thrive. It is important for investors to remain calm during periods of capitulation and focus on the fundamentals of the digital currencies they hold. By staying informed and taking a long-term perspective, investors can navigate the volatility of capitulation and potentially benefit from the eventual recovery of the market.
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