hedge: Bitcoin’s 50% plunge isn’t a crisis, says hedge fund veteran Gary Bode

The selloff reflects bitcoin’s built-in volatility and market misreads of Fed policy, not structural weakness, aruged Bode. What to know : Bitcoin’s nearly 50% drop from recent highs is consistent with its history of steep but historically temporary drawdowns, rather than evidence of a systemic crisis, hedge fund veteran Gary Bode argues. Bode contends that markets are misreading the nomination of Kevin Warsh as a signal of tighter Federal Reserve policy and that perception, margin calls and profit-taking by large holders drove much of the sell-off. He maintains that factors such as whale selling, pressure on Strategy and the growth of “paper” bitcoin may weigh on prices in the short term but do not alter bitcoin’s capped supply or its long-term investment case as a volatile store of value.