Bitcoin’s Next Bull Run Will Start in 2023 According to Bitwise CEO
Hunter Horsley – CEO of the technology solutions provider Bitwise – believes bear markets are a great period when investors could increase their exposure to bitcoin.
He estimated that the next bull run will begin next year, outlining that his firm’s clients have already increased their interest in the asset.
Fortunes Are Made in the Bear Market
In an interview for Bloomberg, Horsley outlined the historical pattern of bitcoin’s price movement. During its existence, the primary cryptocurrency has passed periodically through four-year cycles, while bull runs with growing momentum have always followed bear markets. Relying on that data, he assumed that the asset will begin a new price rally in 2023:
“So in 2014, the market was down almost 60%. 2018 – market down north of 70%. And this year, obviously, 2022, the market is down around 60%. The expectation, if the market continues its historical trend, would be that we begin a new cycle next year.”
Despite the current market crash, the executive said an increasing number of Bitwise customers had renewed their interest in the crypto industry. In his view, those who hop on the bandwagon now (when prices are much lower compared to last year) have a better chance to generate significant profits in the future:
“So the story of this year is definitely a bear market. Nevertheless, we’ve seen increased interest from our client base. And I think the backdrop for many crypto investors is that there have historically been four-year cycles, and while there are opportunities to make money in many crypto market moments, bear markets are the moments when fortunes can be made.”
Investing during a time of crisis is a strategy that numerous financial experts have adopted. The narrative comes from the fact that prices crash prompted by panic in the space but when the situation calms down they surpass previous valuations. For example, when the COVID-19 pandemic was at its peak, bitcoin tumbled below $5,000. However, it recovered its losses a year later, skyrocketing to an all-time high of nearly $70K.
Kiyosaki and Saylor Urge Investors to Focus on Bitcoin
Robert Kiyosaki (the author of “Rich Dad, Poor Dad”) also believes people should allocate some of their wealth to bitcoin during a severe monetary crisis. Not long ago, he claimed that the galloping inflation, the diminishing power of the US dollar, and the upcoming recession, among other reasons, are the leading factors why investors should increase their BTC exposure.
Unsurprisingly, MicroStrategy’s Executive Chairman – Michael Saylor – is also part of that club. In June this year, he described bitcoin’s crash to $20K as a “great buying opportunity.”
On another note, he advised the residents of economically distressed countries (such as Turks) to turn to BTC to preserve their wealth during the turmoil.
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