While the bitcoin dip may have been whipsawing Tuesday, there are other valuably distressed pockets in the market for buyers looking for smart shopping, analysts said.
Those include industrial stocks, materials stocks, Chinese Internet companies and biotech stocks, which all make for compelling buy the dip candidates.
"There will be a further upside in industrial and material trades with the White House finally signing off on the $1.2 trillion infrastructure bill meant to recharge American way of life for years to come," Edward Moya, senior market analyst (Americas) at OANDA said.
Last month, Yahoo Finance listed Brazil based iron ore and vital raw materials producer Vale (VALE) - Get Vale S.A. Sponsored ADR Report as a buy the dip candidate for the winter months, as demand for iron ore expected to rise in the long term.
"Iron ore prices have recently declined as China lifted trade barriers for the steel industry. As a result, VALE stock has come under pressure. However, analysts expect the demand for iron ore to keep going up in the long run. The transition to electric vehicles (EVs) is another significant tailwind, lifting the demand for iron ore as well as other commodities such as nickel," Yahoo Finance reported.
Vale's shares have dropped 41% from a high of $20.64 in June to date. Shares of Vale closed Tuesday's session 1.78% lower at $12.11.
Investors looking for a bitcoin bargain could also look to biotech stocks, which are down 60% year-to-date.
There's also opportunities for value in Chinese internet companies including Alibaba (BABA) - Get Alibaba Group Holding Ltd. Sponsored ADR Report, Tencent (TME) - Get Tencent Music Entertainment Group Sponsored ADR Class A Report and Baidu (BIDU) - Get Baidu, Inc. Sponsored ADR Class A Report, Gregory J. Hahn, chief investment officer for Winthrop Capital Management, told TheStreet.
Hahn bet on "authoritarian capitalism" in the long term, explaining that these Chinese stocks that have been hurt by legal and regulatory crackdowns in Beijing.
"These are real companies that are rooted in democracy and China is not going to destroy them," he said.
Hahn was bullish about the KraneShares CSI China Internet ETF [exchange traded fund] which tracks Chinese internet stocks listed in Hong Kong and the U.S.
The fund has lost 35% this year, the Wall Street Journal reported.
While pushing for biotech stocks Hahn said this sector "will start redirecting resources away from Covid vaccine efforts to other areas of innovation."
Hahn urged investors to look at SPDR S&P Biotech ETF and the iShares Biotechnology ETF. Currently iShares invests at least 80% of its assets in U.S. large, mid- and small-capitalization pharmaceutical and biotechnology companies
Separately, Moya told TheStreet that investors have been going back and forth with value and growth stocks. But he remained optimistic about the big picture.
"We're seeing that there is still tremendous optimism in the U.S. growth outlook, we expect to see above trend growth heading into 2022. Markets will remain optimistic as they wait for a few more inflation reports to better understand the pace of the Fed taper," Moya added.
The price of bitcoin closed at $60,557 on Tuesday.