Bitcoin’s Recent Volatility Has Been Due to Public Statements by ‘Gurus’, Says Coinfloor CEO Obi Nwosu

Cryptocurrency expert Obi Nwosu says it’s important to focus on ‘momentous news’ like El Salvador adopting Bitcoin and not day-to-day price.

By Edited by Gadgets 360 Newsdesk | Updated: 28 August 2021 12:28 IST

Bitcoin’s Recent Volatility Has Been Due to Public Statements by ‘Gurus’, Says Coinfloor CEO Obi Nwosu

Cryptocurrency poster child Bitcoin has steadily increased in value since its invention 13 years ago

Highlights

Nwosu stresses on the importance of El Salvador adopting Bitcoin
He says its important to focus on such "momentous news"
Adding that one should not worry too much about day-to-day prices

Cryptocurrency exchange Coinfloor CEO and Co-Founder Obi Nwosu wants people to see Bitcoin's recent fall in value “both in terms of its historic price and its volatility”. In an interview, Nwosu says that people must remember that Bitcoin “is currently trading around 20 percent higher than it was at the beginning of the year”, and asks, “how many assets can claim that”. On the world's oldest cryptocurrency's recent volatility, he goes on to add that much of it “has been down to public statements by ‘gurus' who are nothing of the sort, but still have the power to move the market”.

Nwosu also offers a “more meaningful view” — “just look at its (Bitcoin's) sustained increase in value in the less than 13 years since its invention.” He feels that as an investor it's important to focus on “momentous news”, such as El Salvador adopting Bitcoin as legal tender. “Focusing on the day-to-day or even month-to-month price is a distraction from the technical, economic, and political developments that are driving Bitcoin adoption and its long-term upwards trend,” says Nwosu.

In the interview with Cryptogeek, Nwosu said that his company's user base changed since last year and Bitcoin's rally has helped them get new customers. “We've also seen a significant increase in ordinary consumers looking for a simple way to start investing in Bitcoin,” he said.

But what about technical adaptability during such price fluctuations? Nwosu says his company continued “uninterrupted” even when “other platforms have historically had issues”, and added, “many of our professional trader clients use us specifically because they know our uptime record during periods of high volatility.”

When it comes to finding talent in the cryptocurrency and blockchain industry, Nwosu feels it's a tough task, “especially so in the Bitcoin and exchange space”. On his company's recruitment process, he says, “We try to hire people early in their crypto careers; we look for potential and passion, and mentor them so that over time, they grow into the employee we want to see.”

Nwosu also gets talking about the trends in the cryptocurrency market that he considers important in 2021. He feels though there's never a dull moment in Bitcoin, “2021 will likely be judged one of the most momentous years in its early history, for a variety of political/ legal, technical and economic reasons”. In terms of politics, he said that the importance of El Salvador adopting the cryptocurrency “cannot be overestimated, even more so than the corporate and institutional adoption by the likes of Square and Microstrategy last year”.

“And over everything, we have the spectre of inflation and declining trust in fiat currency, which will continue to drive new users to explore and embrace the benefits of Bitcoin,” he signs off. Bitcoin price in India was around Rs. 37.74 lakhs on August 28.

Interested in cryptocurrency? We discuss all things crypto with WazirX CEO Nischal Shetty and WeekendInvesting founder Alok Jain on Orbital, the Gadgets 360 podcast. Orbital is available on Apple Podcasts, Google Podcasts, Spotify, Amazon Music and wherever you get your podcasts.

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