Throughout his current interview with CNBC on Sunday, February 20, Huobi CEO Du Jun mentioned that he’s NOT anticipating one other Bitcoin bull run by the late 2024 or early 2025. CEO Jun mentioned that the present Bitcoin chart patterns are much like previous Bitcoin halving cycles and consider that the BTC worth is carefully connected to the method of halving, which happens as soon as each 4 years.
Halving is part of Bitcoin’s underlying code that cuts the Bitcoin miner rewards to half and will increase the complexity of mining new Bitcoins. Beforehand, Bitcoin halving occurred in 2012, 2016, and 2020 and now we have seen the BTC worth rally within the very subsequent 12 months of halving. However following the peaks, the Bitcoin worth tumbled considerably.
Lately, the Bitcoin worth has been struggling to remain above $40,000 for some time. Over the weekend, the BTC worth took a momentary dive below $38,000 earlier than recovering again as soon as once more above $39,000.
The worldwide macros like rate of interest hikes and the Russia-Ukraine disaster have been placing extreme strain on shares and crypto and analysts consider that the BTC worth can additional take a dive below $30,000. Speaking about this, the Huobi CEO said:
It’s actually exhausting to foretell precisely as a result of there are such a lot of different components which might have an effect on the market as nicely — resembling geopolitical points together with battle, or current Covid additionally have an effect on the market”.
We Are At An Early Stage of Bear Market
Huobi CEO Du Jun’s observations are right in a manner and now we have seen the Bitcoin worth right greater than 40% from its all-time excessive of $69,000 in November 2021. Typically Bitcoin has adopted a multi-year bear cycle after a large bull run. Du Jun says:
“If this circle continues, we at the moment are on the early stage of a bear market. Following this cycle, it received’t be till finish of 2024 to starting of 2025 that we will welcome subsequent bull market on bitcoin.”
The Huobi CEO just isn’t alone as many analysts consider that we’re initially of a brand new “crypto winter”. It is going to be attention-grabbing to look at whether or not if the crypto market follows fairness or manages to decouple from it.