Canadian businessman and TV personality – Kevin O’Leary (aka Mr. Wonderful) – believes that the ongoing collapse in the cryptocurrency market is a healthy event that will wipe out unimportant projects and leave only the worthwhile ones. He vowed to HODL his crypto positions, advising investors to bear the current volatility to reap profits in the long run.
‘I’m not selling anything’
Ever since he became an advocate of the digital asset industry, O’Leary has supported the sector in good times and bad. Touching on the latest crash (when bitcoin fell below $18,000), he said volatility is somewhat normal, and should not push investors out of the ecosystem. He further stated that he would not liquidate any of his crypto positions:
“I’m not selling anything. In the long run, you just have to stomach it. You have to understand that you’ll get volatility and some projects won’t work out.
Canadians have invested in 32 different digital assets, including Bitcoin (BTC), Ether (ETH), Solana (SOL), Avalanche (AVX), and more. Earlier this year, he revealed that his crypto exposure accounts for 20% of his net worth. He also believes that diversification is important because one cannot predict which assets will be most successful.
Commenting further on the recession, O’Leary argued that the crypto industry would actually benefit from it. In his view, the unrest will affect smaller projects that have no place in the market. Such a significant drop may also indicate that the industry will soon be headed for a recovery phase.
Next, Mr. Wonderful gave his two cents on the terra fiasco last month. The project’s native token LUNA and its algorithmic stablecoin UST crashed to near zero, causing huge losses to investors and panic in the space. Once again, O’Leary maintains the position that such a crash could be profitable and help the market mature:
“It’s nothing, a rounding error in the context of a sovereign wealth. It’s bad for investors, but they’ve educated the market about what not to do. It’s a good thing.”
BTC is never going to zero
Two months ago, O’Leary reiterated his support for the primary digital asset, predicting that its price would never drop to $0. He explained that such a scenario is unlikely as BTC has emerged as a store of value similar to gold. As such, he has distributed the same amount of his wealth among both the properties:
“Bitcoin will never be zero. That is a personal opinion. There are enough people around the world who see it as a store of value, myself included. It is weighting 5% just like gold in my portfolio.”
The businessman also believes that the implementation of broad regulations in the US crypto space will be a turning point. First, the development will propel bitcoin, and later altcoins will follow suit, he said.
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