Bitcoin could see a crash, says Foundation Devices CEO

Key Points

  • Bitcoin has been trading in a tight range between $94,000 and $104,000, prompting discussions on whether this indicates a bull market.
  • Zack Herbert, CEO of Foundation Devices, believes Bitcoin follows predictable cycles influenced by the halving event every four years.
  • Despite some optimism about a "supercycle," Herbert remains skeptical, expecting traditional market patterns to continue.

Summary

Bitcoin's recent trading range between $94,000 and $104,000 has sparked debate over whether it signifies a true bull market. Rob Nelson, host of Roundtable, highlighted that Bitcoin's 10% price swings are not unusually volatile for an asset that trades 24/7. Zack Herbert, CEO of Foundation Devices, shared insights from his experience since 2013, noting that Bitcoin's market cycles are shaped by the halving event every four years. He described a typical cycle where Bitcoin's price lags, then climbs, skyrockets, crashes, and stabilizes before the cycle repeats. Despite some long-term holders' belief in a potential "supercycle," Herbert doubts this, expecting the established patterns to persist. Nelson countered by pointing out that current volatility is less severe than in past cycles, suggesting Bitcoin's market maturity. Herbert emphasized Bitcoin's unique market psychology and its status as the only fully decentralized, 24/7 traded asset.

yahoo
February 13, 2025
Crypto
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