“Anything Could Happen” – Coinbase CEO Issues Stark Crypto Market Prediction After Bitcoin, Ethereum Price Collapse
Bitcoin
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The Bitcoin price has lost over 10% while the Ethereum price is doing even worse – partly due to investors betting that some smaller cryptocurrencies could replace Ethereum.
Now, as crypto traders scramble to get ahead of a looming “hundred pound gorilla,” the CEO of major crypto exchange Coinbase
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Coinbase CEO Brian Armstrong has warned that the crypto market is fighting economic headwinds amid a huge … [+]
“I can’t tell you what the world is going to be like a year from now,” Coinbase CEO Brian Armstrong said CNBCwarns that crypto exchange fees will shrink, putting pressure on Coinbase’s bottom line as an exchange fee war that began earlier this year intensifies.
“I think there’s going to be margin compression, eventually it’s going to have to happen at some point because everything we build, you know, others, eventually you’re going to build it and it’s going to be a little more commoditized.”
Coinbase, perhaps the world’s most important crypto-on-ramp for new users, has struggled since its Nasdaq debut last year near the top of the bitcoin, ethereum and cryptocurrency exchange rate. Coinbase shares are down around 80% from record highs as trading volumes coincide with the price of bitcoin despite signing a potentially massive $10 trillion crypto-gambling exchange earlier this month.
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The Bitcoin price has fallen sharply over the past six months, weighing on the Ethereum price and … [+]
However, Armstrong, who founded Coinbase in 2012, remains optimistic, claiming that the company has experienced similar crypto price declines in the past.
“We have this saying internally, I like to repeat a lot, as you know, it’s never as good as it seems, it’s never as bad as it seems,” he said. “I think one of the reasons Coinbase has been so successful over the last 10 years is that we try not to focus on short-term ups and downs.”
Other bitcoin and crypto market watchers are finding it hard to remain optimistic, with one analyst pointing to a decline in sentiment.
“With government yields rising again, sentiment deteriorating, the prospect of further declines in stocks and the continued high correlation between crypto and the overall market, it’s hard to be optimistic,” said Rafal Tworkowski, market analyst at forex trading platform Conotoxia. sent comments by e-mail.
