Alexander Lorenzo argues Bitcoin's recent dip to $94K-$95K is a buying opportunity, noting 25-32% drawdowns are normal in bull markets. He highlights asymmetrical returns in altcoins: XEM rose 2.6 million percent, Ethereum gained 4,000× in ten years versus gold's 4×.
So as the market drops, it's time to start buying. Everybody want to buy Bitcoin when it's above $100K, but now that it's at $95K, it's like for some reason they think it's more expensive or something. It's kind of backwards. And so for me, it looks like Black Friday came early for cryptocurrency. Officially, JP Morgan themselves said that they declared the $94K support level based on rising production costs. Now, if we look at it right now, we're at $95K. So it looks like it's making support right there. But to be honest with you, welcome to crypto. Welcome to crypto. Welcome to crypto. Because as you can see right here for Bitcoin's price in the middle, smack dab in the middle of the bull market, at the beginning of 2025, we actually saw Bitcoin go 32% down in the smack middle of the Bitcoin bull run and the altcoin cycle. This is not uncommon. It's expected. The problem is, is people come into crypto with unrealistic expectations. So we're currently down 25%, and we could even go down to 32%, which would be $85K Bitcoin. But see, again, people come into crypto not understanding what's going on. I expected this. Not only that, but I prepared for this. Let me show what I'm talking about. So there's a concept called asymmetrical returns. Yes, I play with a high-risk environment because I know that I can only lose 100% of my investment, but the upside of the investment is $10,000, $20,000, $30,000. These are the top producers last cycle. Look at the percentage return on these coins. As you can see, this coin XEM is like turning $1,000 into $26 million. It went up 2.6 million percent. This is the upside returns. Obviously, nobody buys the exact bottom and sells the exact top, but you have a big what we call a margin of error. So even if you don't buy the exact bottom and sell the exact top, it's much easier to take profit on something that went up 2.6 million percent versus it going up 30% in the traditional stock market. So, yes, high-risk, high-reward environments work. And so, what people need to do is broaden their time horizon and they can make money. Look at the assets over the past 10 years. If we look at Ethereum and we look at any other stock, it gets completely eliminated. Look at Ethereum's multiples. That's up 4,000x in the last 10 years. Look at gold. Everybody's raving about gold being the savior of the world, and it's only up 4x in the last 10 years. Again, asymmetrical environment. Say it with me, asymmetrical environment. See, I don't need Bitcoin's price to go up because I take advantage of a concept called liquidity displacement. As you see, I invest in lower liquidity altcoins. It can increase, as you can see right here, by 2x with a $20,000 investment. This is a $100K liquidity pool. This is a $100 million liquidity pool. But with the same $100 million liquidity pool, it takes $20 million for the coin to go up 2x. And a 2x is 200% return. So people are raving about gold going up 10% or 20% over the year, 30% of the year, when I'm telling you that a $20K investment can bring up the price of a coin by 200% with lower liquidity. I don't need Bitcoin's price to go up, fam. I need asymmetrical bets with good risk management, which I've been doing for the past 8 years to get me rich. So again, this is great. Don't get me wrong. We're supposed to buy low and sell high. Who taught you how to trade? Why are you getting scared? You notice my energy has been increasing? Let's make some money. Stop crying about it.
