CEO Huobi: "bear market" will drag on until the start 2025 of the year – Bits Media

Du Jun, CEO of the Huobi cryptocurrency exchange, believes, what, based on the historical dynamics of the Bitcoin exchange rate, “bullish trend” should not be expected before the start 2025 of the year.

In conversation with CNBC Du Jun (Du Jun) explained, that the Bitcoin exchange rate is highly dependent on the halving rewards for miners, which is held every four years. The third halving took place in May 2020 of the year, And in November 2021 Bitcoin hit an all-time high in $69 000. A similar situation occurred after the reward was halved in 2016 year – next year Bitcoin exceeded $20 000. IN 2018 year, after the ICO boom, "crypto winter" has arrived, lasting for several years.

Jun thinks, that the current situation in the cryptocurrency market is developing according to the same scenario. Bitcoin is currently trading around $39 000 for a coin, What's on 40% below all-time high, reached in November. However, he noted, that it is really difficult to predict the future “behavior” of Bitcoin, since the market can be significantly affected by many factors, eg, pandemic and geopolitical problems.

“After both peaks, the Bitcoin rate fell. The next halving is scheduled for 2024 year. If you focus on this cycle, We are now in the early stages of a bear market.. therefore “bullish trend” should only be expected at the end 2024 year or at the beginning 2025 of the year", – said the founder of Huobi.

Many analysts predict the onset of another “crypto winter”. However, Benjamin Cowan (Benjamin Cowen) considers, that the Bitcoin exchange rate largely depends on the dynamics of the stock market, and if the NASDAQ and S stock indices&P 500 will demonstrate long-term growth, then Bitcoin will return to the “bullish trend”. DAppRadar researchers are even afraid, that a prolonged “cryptowinter” can “weed out” 80% DeFi projects, who have not yet felt its influence, поэтому на рынке останутся лишь самые крупные и устойчивые проекты.