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- The co-founder and ex-chief executive officer of U.S-based crypto exchange Kraken, Jesse Powell, has forecasted that the approaching Bitcoin having can push the initiation of the upcoming bull market.
Powell was recently seen in an episode of the Bankless podcast. In the podcast, he discussed the complete condition of the crypto space after the unexpected fall of FTX and guessed what could push the space out of the continuing bear market.
“It is barely a big hit to lose $10 billion in capital from this space. To have that just theft away, that could have gone to excellent and taken the space forward. So, it is going to take some time to retrieve from,” he revealed.
Furthermore, Powell stated that the consequence of FTX provided billions in losses to various retail users along with institutions, leaving the crypto industry with fame to restore, which will eventually take some time. Although, he said the approaching Bitcoin halving, which is anticipated to happen in the first half of 2024, can be the next bullish catalyst for the market.
“Undoubtedly, prices are down as a consequence of all this too, therefore I believe that we tend to sink into a bear market even deeper. It may be extended, we do not have one more Bitcoin halving till March 2024.”
Bitcoin halving is the term referred to the rate of new Bitcoin going into circulation is reduced to half, which happens nearly every four years. Halvings also reduces the reward for mining Bitcoin transactions in half, and as a result, the remaining amount of new supply, even as demand increases.
Technically, Bitcoin’s havings have resulted in the initiation of a bull market due to classic supply and demand mechanisms. And from the time the wider crypto market and altcoins normally follow Bitcoin, the complete crypto market reassembles when Bitcoin plunges higher.
The last halving
The last halving occurred in May 2020 and in 2021 as a consequence, Bitcoin touched its all-time high about $68,000. Same thing happened in 2016.
Powell purported that the declination of FTX will not be the last worse thing to occur to the crypto space but that he is still optimistic on the long–term likelihood of the industry. He further stated that,
“I believe there it will stick to be worse actors that come in that we have to go out. There is going to carry on to be blows against the industry, and spreading false information out there. Eventually, I think we got to remember why crypto is here at the top position, and that is to deliver Bitcoin and financial freedom technically all over the world.”
Saurav Bhattacharjee is in charge of the Broadcast development team of The Coin Republic.
He has been covering the Metaverse and NFT niche for the past 2 years.
With stellar interviews on his portfolio like Nicehash, Paxful, WallstreetWolvesNFT, Bitholla, Totemfi, EOS.io etc. Saurav has spearheaded the NFT SUPERSTARS AWARD and successfully hosted the first award in 2021.
