Dan Morehead, CEO of Pantera Capital says the normal bear markets in Bitcoin (CRYPTO: BTC) are a factor of the previous.
What Occurred: The apex cryptocurrency has cycled by bull and bear markets, with the worth of Bitcoin going parabolic to a peak earlier than crashing over 80%. Morehead says he believes “we’re accomplished with the four-year halving cycle – and on to the subsequent value period,” in accordance with a report from The Daily Hodl.
Morehead says the halving cycle led to April of this 12 months, “We had a interval of short-term madness – the place Chinese language mining bans have been considered destructive and some folks had blockchain ESG (Environmental, Social, and Company Governance) the other way up – and now we’re in a brand new bull market.”
The Draw back: Whereas Morehead says he has been advocating for the crypto market to grow to be “broader, extra worthwhile, and extra institutional,” the outcome could imply the bull markets can be much less worthwhile. “The flipside is we in all probability received’t see any extra of the 100x-in-a-year rallies both,” he stated.
He factors out that earlier bear markets have seen drops of 68%, 83%, and 61% and the Bitcoin correction this 12 months, from $64,863 to $29,807, was a 54% drop. Morehead says “If it ever hits -83% once more, I’m going ALL IN.”
On the time of publication, Bitcoin is priced at $55,116, with some analysts predicting the worth may attain $100,000 this 12 months.
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