Southeast Asia’s Binance CEO predicts on Bitcoin price 2022
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Ms. Lynn Hoang – CEO of Binance Southeast Asia, commented, “Bitcoin winter won’t last as long as 2017. Bitcoin price won’t go up forever, but the down period won’t last.
Bitcoin winter is a phrase to talk about the period when cryptocurrencies plunge. Investors often refer to “Bitcoin winter” as a long period when Bitcoin and other cryptocurrencies plummeted and could not return to previous levels.
Bitcoin winter won’t last as long as 2017
In 2017, the Bitcoin price increased nearly 20 times and hit the almost $20,000 mark. But then the price plummeted to half and couldn’t get back to the top for several years.
After many hot surges and consecutive historical peaks, Bitcoin price fell from a record of $67,000 to $45,000-50,000. This morning, the Bitcoin price dropped another 6.5% to $43,000 after the US Federal Reserve (Fed) released the minutes of its December meeting, showing uncertainty about inflation and the possibility of interest rate hikes. From March of this year. In that context, investors fear that “Bitcoin winter” may be approaching, repeating the scenario of three years ago.
Sharing with VnExpress, Lynn Hoang – Southeast Asia director of Binance (the world’s largest cryptocurrency exchange) admitted that the market is “still in a tumultuous phase.” But according to her, Bitcoin price fluctuations will be more stable in the next 5-10 years as the size of investors participating in the market is more significant and more prominent.
The female CEO also said that the “Bitcoin winter” will happen because the market cannot go up forever. “But it won’t be as volatile as it was during the hibernation three years ago because the internal factors of the market have changed,” she said.
In 2017-2018, capital inflows into the market were mainly from individual investors and lacked the support of reputable organizations or investment funds. Like another asset, “bubbles,” individual investors trust cryptocurrencies based on emotions.
The cryptocurrency market is no longer just an individual’s game
Today, the cryptocurrency market is no longer just an individual’s game – often psychologically weak and lacking a systematic investment strategy. Lynn Hoang assessed that, instead of having a skeptical view as before, traditional investment funds have poured trillions of dollars into the market and continue to increase. Many figures in the financial world, technology, and billionaires have changed their views and expressed support for crypto.
For example, investment fund MicroStrategy has spent more than 1 billion USD buying Bitcoin since last year. PayPal now allows customers to buy, hold, and sell Bitcoins directly from their accounts. “I think Bitcoin is trusted mainly because of the trust and uniqueness of blockchain technology,” said Lynn Hoang.
Development of the crypto investment community
According to Lynn Hoang, the dizzying development of the crypto investment community is partly due to luck, thanks to the Covid-19 push. In just four months, the number of crypto users worldwide has doubled from 100 million to 221 million in June of this year. In Vietnam alone, the number of people participating in cryptocurrencies far exceeds the number of half a million people.
She also cited data from PitchBook stating that venture capital funds poured a record $30 billion into crypto projects in 2021, four times more than in 2018, more than the previous years combined.
Three years ago, the ecosystem of projects built on the Blockchain platform was not as vibrant now. Nowadays, traditional companies jump in to do NFT and Games projects.
However, the “Bitcoin winter” view still receives mixed opinions, especially from crypto skeptics. Some experts warn of the possibility of a repeat of 2018.
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