It is no longer a secret that bitcoin has performed in recent months, beyond expectations. The figures show a surge in its prices. Meanwhile, the latter have not experienced a significant decline despite gloomy economic and financial circumstances. For some experts, there would be a reason for this.
Bitcoin came out of the bear market turmoil
The idea that bitcoin has become an asset immovable enough to collapse is getting a little stronger. Crypto trader Jason Pizzino who raised this hypothesis recently is not the only one to defend it. Asked about the subject, Benjamin Brannan, head of development strategy at CryptoQuant, expressed the same idea.
For him, bitcoin is out of the red zone where a spectacular drop in its prices was conceivable. Even if the latter were to happen, he points out, the asset should not fall below the $16,000 mark.
If Brannan believes in this hypothesis, it is because certain elements make it probable. The expert would draw part of these arguments from the exchanges he would have had with many institutional investors and their intentions to buy bitcoin.
“These are conversations I’ve had primarily with institutional grant recipients and also with people who raise core funds,” Brannan said in an interview.
According to the expert, these investors are waiting for the 3e and the 4e quarter of 2023, to make their acquisitions in bitcoin. This, the time that the asset confirms its exit from the bear market, which has been the case since the beginning of 2023.
Ho Chan Chung, also an executive at CryptoQuant, evokes a theory that would explain the robustness of BTC. The expert essentially points to bitcoin’s recognized status as a commodity. Not to mention, among other things, he adds, the cyclical evolution experienced by the bitcoin market, generally in waves of 4 years.
“If there are no events such as the detonation of a nuclear weapon in Ukraine by Russia or the explosion of Binancethen we should be pretty stable in terms of meeting the lower levels”quipped Chung.
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