Bitcoin (BTC) analyst Brady Swenson shared a point he made about the FOMO seen in Bitcoin. Swenson explained that the FOMO seen at this rally is different from the speculative FOMO in 2017. Let’s examine the analyst’s comments together.
Brad Swenson, who does Bitcoin analysis and is also known for his podcasts, has brought a new interpretation of FOMO, seen in the Bitcoin (BTC) bull run. The analyst suggested that the speculative FOMO at the rally in 2017 was different from the FOMO seen this year. This analysis shared by Swenson on Twitter received hundreds of likes and comments.
Why is this FOMO different?
Brady Swenson made the following statements in his analysis, which he shared in his Twitter post:
“HODL FOMO = Escape Velocity (Escape Speed)
The bull run in 2017 was driven by fear of missing fiat gains with short-term retail and investor speculation. In this run, FOMO will dominate the adoption of Bitcoin as a reserve asset by individuals, companies and even nations. Unlike the speculative FOMO, adopting Bitcoin as a reserve asset is a deliberate decision to keep BTC long-term, that is, to HODL. While we saw speculative FOMO during the last bull run, we see the beginning of HODL FOMO during this run. ”
The analyst suggested that a widespread HODL FOMO would then start with a widespread trust in Bitcoin. He stated that in the last few years, efforts have been made to reduce the possibility of Bitcoin being devalued or lost and to make it more secure, and that we witnessed the victory of Bitcoin forks in this regard. He also emphasized that big companies such as Square, Visa, IBM and Fidelity invest in Bitcoin projects.
Reminding the Bitcoin comments and investments by names such as Patrick MCHenry and Paul Tudor Jones, Swenson stated that the Bitcoin network has been operating 99.98% for almost 12 years and has never faced a dangerous situation.
The factors that trigger HODL FOMO
Swenson explained that the most important factor triggering HODL FOMO could be Microstrategy’s 38,250 BTC acquisition move. Then, referring to the $ 50 million BTC investment made by Square, the analyst emphasized that the trust in Bitcoin has become widespread.
“In 2017, speculators were chasing each other at the rally, and most of them earned money in fiat money. When the rally ended, they all returned to their own accounts. But there will be no such escape in HODL FOMO. Instead, long-term HODLers will continue to come to Bitcoin and a foundation will be created that will constantly raise the price.
The HODL FOMO cycle will never end, which will be the main force that will boost the speed at which Bitcoin escapes fiat currencies. “