Crypto market stuck for now, but Bitcoin to make new all-time-highs within 24 months: Coinshares' CSO
Coinshares' CSO Meltem Demirors averred that a lot of weaker cryptos would be washed out in the current downturn
By Shashank Bhardwaj
Coinshares' chief strategy officer, Meltem Demirors, told CNBC that BTC has the potential to reach a new all-time high in the next 24 months while the crypto market will “stay where we are for a while”, with no catalysts acting in near sight to pull the market from the bear phase.
On July 11, Demirors told CNBC's Squawk Box that Bitcoin is a "cyclical asset" with peaks, valleys, and troughs at 80-90 percent in its history. Currently, the crypto asset is 65 percent lower than its all-time high in November 2021. Demirors noted that "there is still room for some downward correction”.
She noticed strong support for Bitcoin at $20,000 and did not think it would fall below $14,000. Demirors predicts that in 2024, the crypto community will forget about the commotion in 2022 by stating, "in the next 24 months, we will see new all-time highs in Bitcoin."
Currently, Bitcoin is priced at $19,541, more than a 71 percent descent from its peak price. Demirors predicted a reversal in the trend, but she saw "no near upside catalysts,” which can add to the adversity of smaller and weaker crypto-asset projects.
She added, "We obviously had a lot of liquidations, a lot of insolvencies that had a massive impact on the market. [...] We're talking about $10, $20, $30 billion capital that has basically evaporated overnight."
Demirors expects a wipe out of a large number of crypto assets during the bearish market, similar to the happenings in the tech stock market. She said, "There is a very long, long tail of crypto assets that I think will go to zero, that doesn't really have any long-term prospect as we've seen with so many tech stocks as well."
Forex Sugget's managing director at broker comparison site, Louis Shoeman, expressed similar views. In a 9News report, he said that adverse market conditions could remove 90 percent of all the crypto projects. According to Shoeman, it's a "cleansing process" and the survival of the fittest. He added, "but it also serves as a massive opportunity for many no-coiners to enter the crypto market for the first time. Fortune favours the brave in crypto right now."
In June, Mark Cuban, a billionaire investor and entrepreneur, said he doesn't see the bear market getting over until there is a better utility of applications besides finance.
Cuban further says that merging different protocols and blockchains will ultimately consolidate the crypto-asset industry since "that's what happens in every industry."
The writer is the founder at yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash
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