Huobi C.E.O. has doubts that bitcoin would turn bullish anytime soon, given his analytical angle. Speaking at an interview with CNBC recently, C.E.O. Du Jun shared his pessimism about the next BTC bullishness, adding he doesn’t anticipate any until 2024.
Jun backed up his claims with the present price chart indicators. According to him, the patterns look identical to past BTC halving cycles occurring every four years. Jun insinuates that the next bullish run would happen two or three years from now based on such a pattern.
Halving Explained
It is a phenomenon where the rewards of BTC miners are significantly reduced by half, and the difficulty of PoW activity increases substantially. BTC halving started in 2012, followed by 2016 and 2020. In those years, BTC was at its record lows but witnessed a surge a year after.
Given that bitcoin is at its record lows in 2022, Jun’s theory could be correct but not yet proven until 2023, a year after the so-called halving. The crypto community will not be particularly pleased with the bitter truth analysis, and the sentiment could cast gloom further over the dwindling cryptocurrency market.
Bitcoin has shed over 43%, dropping from its record $69k attained last November. In most cases, bearish runs precede bull cycles, as explained by Jun. The C.E.O said that if the market should follow this pattern, it’s an indication of a prolonged bearishness that won’t elapse until 2024 or early the following year.
Many experts support Jun’s analysis and think the market is just getting started with a new phase of a bear cycle. Whether the cryptocurrency market will prove the decade-old pattern wrong or not is still unknown.
Recent Price Movements
The flagship digital currency has been battling to climb out of the $41k zone since last November. Last weekend, BTC slumped back to $38k again momentarily before it moved back above $39k. It has been the price movement for almost three months.
The fact is the flagship asset has been under intense pressure for that period. The geopolitical factors, such as the Fed’s announcement of interest hikes, the Ukraine-Russia situation, and recent Freedom Convoy protests in Canada have been unfavorable news to the market. As you know, once BTC is affected, the majority of other cryptos will also be affected.
Du Jun opined that bitcoin could nosedive to below $30k but insists that it’s tough to anticipate what would happen in the market because many factors can swing prices. A piece of positive news could be just what the flagship crypto might need to kickstart bullishness.