The month of May witnessed a departure of $500 billion from the crypto market due to the collapse of Terra Luna. In June, the market again experienced a $400 billion fall, dropping the industry cap below $1 trillion for the first time since the very beginning of 2021. The May drop made many crypto investors optimistic about buying during the dip as the Bitcoin price fell from $40,000 down to $28,000. However, observing the cryptocurrency investment volatility, buying at $28,000 may take people 30% down as the Bitcoin price is barely staying above $20,000 recently.
This brings us to a much-anticipated question— To Buy Or Not To Buy During The Crypto Dip?
The de-pegging of UST from its $1 price was arguably the main reason for the first crypto crash of the year. The nature of this consecutive one is majorly microeconomic.
Following the last week’s report, the Consumer Price Index (CPI) marked the inflation rate at 8.6% in May. This soared the market as a drop was seen in the points of significant industry players.
Moreover, the Nasdaq composite also dropped by 4.68% as inflation went to the highest level since 1981!
Monday, June 13, witnessed the Bitcoin price tumble from $27,000 to $22,000. The losses continued into June and June 15, with Bitcoin trading at a steep of $22,180 recently. As the crippling effect of the falling crypto prices, the United States’ biggest crypto trading platform – Coinbase – declared it was laying off a whopping 18% of its full-time staff.
Is it right to buy at the Bitcoin price dip?
Since the trading indicators are plausibly positive for Bitcoin, Bitcoin’s relative strength index (RSI), currently at 26 after a 14-week long tracing (and the lowest since 2018), signifies the overselling of the popular cryptocurrency. Furthermore, Bitcoin has dropped past its 200-week SMA, which is currently at $22,350.
It is a clear indication that Bitcoin is a lucrative buy right now. But, it’s difficult to predict how low it may go, especially after the recent drop due to the US Federal Reserve interest rate hike.
Which crypto should you buy?
During a crypto crash like the one we are witnessing, tokens with substantial fundamentals have the best survival prospects.
As per the initial market cap, Terra Luna was a top 10 cryptocurrency in May, and the token is now worth $0.00005719 after dropping 99.99% from a price of over $80. Likewise, the algorithmic stablecoin UST is worth $0.007334 after de-pegging from its $1 price.
These tokens clearly lacked strong fundamentals bringing us to the question of which tokens to buy this month?
The recent crypto crash has seen the rise of the stablecoin BUSD. The token astonishingly jumped among the top 10 cryptocurrencies and was recently at 6th place in the market cap rankings. The fun fact about this crypto is that it is the only stablecoin supported by US banks, with routine monthly audits. BUSD is also native to the world’s largest crypto exchange by market cap- Binance. It also tracks the current 12% price spike in the reflection token EverGrow Coin.
EverGrow Coin levies a 14% transaction tax with 8% distributed as BUSD bonuses to investors. To date, more than $37 million has been paid to investors – and people who have EverGrow Coin earn BUSD rewards for any buying or selling order on EGC. This suggests investors continue to earn passive income during the current crypto crash.
Most likely, EverGrow Coin can be a good buy in June to make quick profits even if you’re inexperienced with short-trading, day-trading or buying up fast-rising altcoins.
Author: To The Verge Team
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