Should You Buy the Bitcoin Dip Like MicroStrategy and Metaplanet Are?
Priced at $84,937 (BTC/USD), Bitcoin is up 0.33% over the last day, and it is up from a recent low of $74,830, where several companies purchased millions of dollars of bitcoins.
Metaplanet and Strategy (formerly known as MicroStrategy) both bought millions of Bitcoin recently, with Strategy purchasing $285 million and Metaplanet buying up $26.3 million. It may be significant that Metaplanet is making such a commitment to Bitcoin at a time when there is extremely positive activity in Japan’s 30-year treasury yields. It is also significant that these two companies are willing to put so much money down on cryptocurrency when there is considerable economic fear regarding tariffs, inflation, and the trajectory of the stock market.
Bitcoin might not be in a dip any longer, since it gained back all of the lost ground from its recent downturn. However, the coin is still well below its 2024 year-end highs that followed Donald Trump’s presidential election win. Should investors be buying what is still a dip for the coin? Is there hope that in the near future Bitcoin will return to a level above $100K or even set a new record high?
Bitcoin Price Prediction
Bitcoin is up after an announcement from President Trump that there would be no tariffs imposed on a number of electronic products. However, Bitcoin’s price and other markets are very unpredictable right now. It seems like at any time that Trump could change the tariff policy and China could counter it with a new policy of their own.
As the stock market fluctuates wildly, it is causing severe price fragility with Bitcoin and the wider crypto market. There was concern that Strategy would have to sell off much of its Bitcoin assets in the face of a worsening economy. However, since the economy is looking better at the moment and Bitcoin is up, Strategy has taken the opportunity to double down on its Bitcoin investment.
Is that wise for other smaller investors to do? It may not be since the market is so unpredictable at the moment. Even though things are looking up right now, that may not be the case by the end of the week. Bitcoin is so unstable right now that it could easily fluctuate between $90K and $75K within a week, making it a very risky investment.
As usual, crypto investors should put in what they can afford to lose, especially with Trump changing his mind on tariff policy at a rapid rate. While the market volatility could propel Bitcoin’s price above $90K very soon, it is just as likely to push it down to its support level.
It is difficult to make a prediction anymore about where Bitcoin could be headed by the end of the year, but it is not out of the realm of reason to anticipate a $120K or $130K high before 2026, especially if Trump focuses on cryptocurrency’s regulatory framework and building up a Bitcoin reserve.
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