Bitcoin has survived 17 years and cannot be compared to tulip bubbles. Eric Balchunas and Garry Krug discuss the reasons why the resilience of crypto is making critics wrong.
Bitcoin keeps making its opponents wrong. The cryptocurrency is trading at an average of about 89,000, although it has experienced volatility in the recent past. Those who draw parallels between it and tulip mania fail to carefully consider an important aspect. Tulips failed after 3 years. Bitcoin has survived almost twenty years.
On X, the senior ETF analyst at Bloomberg, Eric Balchunas, says that the comparison does not work. Balchunas said that Bitcoin has endured six to seven significant crashes in the market. And every time it was new all-time highs. The asset increased by 250 percent in three years. In 2024 alone, it surged 122%.
Source : Eric Balchunas
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Why Bitcoin’s Durability Destroys Bubble Narratives
Tulip mania lasted from 1634 to 1637. Prices skyrocketed and crashed by nearly 90 percent. The Dutch economy experienced a speculative boom and bust. It was soon terminated and never came back.
The story of Bitcoin is a different one. The cryptocurrency survived numerous obstacles. It emerged intact from regulatory raids and exchange crashes. Market cycles came and went. Bitcoin continued to recover in a bigger way.
Source: Garry Krug
Garry Krug, head of strategy at Aifinyo, gave his ideas on X. He claimed that bubbles do not survive many cycles. They fail to resist the geopolitical strain and cuts. The repeated resurgences of Bitcoin are showing actual asset behavior in monetary terms.
The Asset Critics Love to Hate
Balchunas responded to enduring criticism. There are those who just hate Bitcoin. They desire to make followers angry. These opponents are rewriting old stories, rather than looking into facts.
The performance of Bitcoin says it all. Even a flat 2025 would not take away its course. The cryptocurrency justified itself with recurring rebounds. Such resilience is never exhibited in traditional bubbles.
Krug stressed the youthfulness of Bitcoin as a currency. The previous seventeen years proved something significant. Durability is more important than short-term volatility. Physical resources hold and multiply.
Breaking Free From Misconceptions
The argument of non-productive assets fails, too. Gold doesn’t produce returns. Rare art sits in museums. Bitcoin resembles stores of valuable wealth. It was legitimate by living on, unlike tulips.
Critics defy accumulated evidence. Balchunas observed that the fact that Bitcoin survived is in itself an object of admiration. The Bitcoin endured hardships never witnessed before. No bubble in history displayed such staying power.
The criticism is not perpetuated because it is true, as Krug on X remarks. They have been in place since the recognition of the success of Bitcoin demands challenging realities. Seventeen years of evidence do not support bubble stories.
Source: https://www.livebitcoinnews.com/bitcoin-shatters-tulip-mania-myth-with-17-year-track-record/
