If what you say is true, gabmen, that some people fucked up because they bought too much bitcoin during the price rise to $20k, and so now their BTC holdings may likely be in the red.. and perhaps considerably in the red, then perhaps those same people overinvested (and retrospectively we realize that their overinvestment came at the wrong time). 

Accordingly, it seems to me that the fundamentals of bitcoin have not gotten worse in the last year, even though the price has come down, and actually, with the passage of time, there seems to be considerable evidence that the BTC fundamentals are stronger than they were a year ago, with the ongoing development of lightning network and various other ongoing improvements (and also any lack of material problems).  Even though I tend to agree with your assertion that it is not necessarily prudent to come at bitcoin with large sums of money (possibly rising to the level of careless, like you suggest), yet on the other hand, people have made a lot of money by placing value into bitcoin on price dips rather than during times of price rise, and our ongoing stagnation in the $5700 to $8500 territory might demonstrate that this is a decent time to invest large sums, for those folks who use a large sum approach to investing.

Personally, I prefer incrementalism buying and dollar cost averaging to establish my position in anything that I believe that I need to increase my position, which seems that such approach would work in bitcoin at these prices, whether they drop further or go up from here.