The motivation and time horizon for entering Bitcoin (BTC) will ultimately dictate whether investors succeed in this new nugget form, according to crypto pioneer Mark Yusko.

On Fri, the CEO of Morgan Creek Capital Management commented on the recent wave of negative headlines concerning Bitcoin. In a serial of tweets, Yusko said financial institutions are justifiably concerned about Bitcoin'southward disruptive bear upon and will use whatsoever means they have to slow its adoption.

The normal response to Bitcoin'south threat is to "cock barriers to adoption and innovation," Yusko said, calculation:

"When threatened, incumbents always turn to influence of governments to try and slow adoption of new technology through onerous regulation"

Ultimately, this has been "a losing strategy for centuries," he said.

In the meantime, speculators seeking short-term exposure will continue to influence Bitcoin'due south price by reacting to headlines. They've had no shortage of negative news in recent days, with Prc seizing $4.2 billion worth of crypto assets and Coinbase'south Brian Armstrong foretelling of potentially damaging Bitcoin regulations.

However, he believes that investors with a longer fourth dimension horizon are more than likely to succeed as Bitcoin's central narrative strengthens:

"Investors are long-term holders focused on Value & Speculators are short-term holders focused on Toll"

Bitcoin holders are notorious for their low time preference, significant they defer immediate gratification for long-term gain. In this instance, the "long-term gain" is a paradigm shift in society'southward understanding of money.

Bitcoin holders, or HODLers as they've come up to be known, appear to have strengthened their confidence amid the latest market cook-up. Case in point: 61% of Bitcoin'south supply has not moved for over a twelvemonth despite BTC being assisting for over 99% of its history.

On the price forepart, Bitcoin peaked north of $19,200 last calendar week. In the process, BTC's market cap ballooned to $352 billion; a new all-time loftier. The asset is currently trading below $17,000 after a heavy correction on Thursday.