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Bitcoin was created as a response to the 2008-2009 market crash. This experience showed many people problems with the traditional financial markets, and because of people's desires for an alternative, Bitcoin was created. It was created to fix problems. Bitcoin is a peer to peer payment system that cuts out the middleman. It works without banks and financial authorities. After the 2008 market crash, people did not trust financial authorities as they held them responsible for the market crash itself. At that time, a payment system that eliminated the need for them was very sought after.
With all this in mind, I believe that most people that have held Bitcoin over the last few years did not hold it to accomplish what Bitcoin was created to do. They didn't care about its value as a decentralized payment system. Everything was going to well where the value of a decentralized payment system seemed small. Bitcoin was always meant to be a currency but that is not why most people were investing into it.
Now that we are in a market downtrend of huge proportions, I believe that most of the people holding Bitcoin as a get rich quick method and other reasons of that magnitude have already sold out of Bitcoin. I think that this is a good thing. Most people still holding Bitcoin are doing it because of their underlying faith in the asset itself and a belief in what Bitcoin truly can accomplish. Personally, I am ecstatic about this because, to me, it seemed like no one was actually holding Bitcoin because they wanted it to be a real currency option even though that was literally what it was created for.
With this latest market downtrend, I think Bitcoin looks more appealing now than ever. Not because of the amazing price Bitcoin is currently trading at, but because the problems it was created to solve are more alive today than ever.
The U.S. dollar is experiencing massive inflation after the creation of a huge amount of more dollars. Bitcoin has a fixed supply so something like that could never happen to it. The distrust for banks and financial authorities exists now more than ever, and Bitcoin solves this by not having to go through these third parties. As inflation rises and the market continues to crash, Bitcoin, and what it can do for people that adopt it, becomes more and more valuable.
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