B

itcoin could be headed for another bubble? As Bitcoin continues to fall, it seems like it will reach new all-time highs within 24 months.

Speaking on CNBC’s Squawk Box on July 11, Demirors noted that the known cryptocurrency has always been a “cyclical asset” with drawdowns from peak to trough at 80 to 90% historically.

The currency price is at $19,401, down 2% from the previous day and 72% from its all-time high.

“We certainly expect more pain ahead for tech stocks, growth, and also crypto.” 

Meltem said that she believes BTC is currently in the midst of a cyclical bear market, and it is not uncommon for prices to fall by as much as 80% before entering a new bull market phase.

However, she remains optimistic about the currency’s long-term prospects and believes that the cryptocurrency will make new all-time highs within the next 24 months.

“I actually think we’re going to see bitcoin make new all-time highs in the next 12 to 24 months,” she said. 

While acknowledging that the current macroeconomic conditions are not conducive, she noted that the cryptocurrency has held up relatively well compared to other asset classes, and believes this is a testament to the strength of the underlying technology and fundamentals.

In the long run, Demirors is convinced that Bitcoin will continue to outperform traditional assets like stocks and commodities. She said that the leading cryptocurrency has all the necessary ingredients to become a safe haven asset in times of economic turmoil.

The currency surged to an all-time high of nearly $20,000 in December 2017 before entering a prolonged bear market that saw prices fall by more than 80%. BTC bottomed out at around $3,200 in December 2018 and has since been on a gradual uptrend.

Coinshares CSO is confident that BTC will make new all-time highs, but she cautioned that the cryptocurrency is still in a bear market, and prices could fall further in the short term. 

“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 of capital that has basically evaporated overnight.”

Demirors’ bullish forecast for Bitcoin contrasts the bearish stance of JPMorgan Chase CEO Jamie Dimon, who said in October 2017 that the said currency is a “fraud” and predicted that prices would eventually crash to zero. However, Dimon softened his stance last year and said he regrets calling it a fraud.

While acknowledging that a recession is inevitable at this point, Demirors said its timing is difficult to predict. She believes the current economic slowdown could last longer than anticipated, which would be bad news for riskier asset classes like crypto and tech stocks.

Source:
https://cointelegraph.com/news/bitcoin-to-make-new-all-time-highs-within-24-months-coinshares-cso

Posted 
Jul 13, 2022
 in 
Crypto News
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