What will be mentioned in the following lines is just an expectation and a guess that may be right or wrong.
Yesterday Sunday, CNBC interviewed Huobi co-founder Doo Jun, who doesn’t expect there to be a new Bitcoin rally until late 2024 or early 2025.
CEO John told that current Bitcoin chart patterns are similar to previous Bitcoin cycles.
We believe that the bitcoin price is closely related to the mining reward halving process, which occurs once every four years.
The bitcoin reward halving is a part of the underlying bitcoin code that halves bitcoin mining rewards and increases the complexity of mining new bitcoins.
Previously, this Bitcoin split occurred in 2012, 2016 and 2020 and we saw the Bitcoin price soar the following year that saw the split.
But after the peaks, the price of Bitcoin dropped dramatically.
Recently, the price of Bitcoin has been struggling to stay above $40k for a while.
Over the weekend, bitcoin price saw a temporary dip below $38,000 before recovering back above $39,000.
Factors such as rising interest rates and the crisis in Russia and Ukraine have been putting heavy pressure on stocks and cryptocurrencies, and analysts believe that the price of Bitcoin could drop below $30,000.
About that Huobi co-founder said:
It’s really hard to predict exactly because there are many other factors that can affect the market as well, such as geopolitical issues including the war, or the recent Corona mutator.
Huobi co-founder: We are in the early stage of a bear market
The Huobi co-founder’s remarks are somehow correct and we have seen Bitcoin price correct more than 40% from its all-time high of $69,000 in November 2021.
Bitcoin has often followed a multi-year down cycle after a massive bull run.
Do Jun says:
If this cycle continues, we are now in the first stage of a bear market.
After this cycle, we won’t be able to welcome the next bitcoin bull market until the end of 2024 to the beginning of 2025.
The Huobi co-founder is not alone as many analysts believe we are at the start of a new winter for the crypto market.
It will be interesting to watch if the cryptocurrency market follows the stock or manages to break away from it.
The founder of Ethereum welcomes another bear market and counts the pros of the price decline!
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