Bitcoin ‘isn’t going away,’ says CEO of Digital Assets Company
Bitcoin has been put to the extreme test in recent weeks as this year’s crash in the cryptocurrency market has raised questions about the viability of the industry, with investors bearing the brunt of the collapse and market fears reaching a new high.
Fears of a worldwide recession and the highest inflation in over four decades have dealt a heavy blow to the fledgling cryptocurrency market in 2022, creating a brutal crypto winter that has driven once-skyrocketing companies to shut down and investors into panic selling.
Nearly $2 trillion in market capitalization, billions of dollars in frozen assets and thousands of jobs have been lost to the turbulence, but these losses may be just the beginning.
Bitcoin isn’t going anywhere, CEO says
Despite the bleak outlook, the CEO of this digital asset management company is optimistic.
Gavin Michael said in an interview with Yahoo Finance on Friday that the cryptocurrency industry is “not going away.” In fact, he claims that interest in the field is motivated by the likelihood of a significant resurgence next year, following the recent decline of Bitcoin and other cryptocurrencies.
ICE-founded Bakkt, which offers a platform for institutional investors to trade bitcoin and other cryptocurrencies, continues to profit from the digital asset market. The site just announced a partnership with Visa to offer crypto debit and credit cards. Mastercard is also an existing partner of Bakkt.
According to Michael, Bakkt’s partners, most of whom are international companies, still show considerable interest and enthusiasm.
“They’ve been monitoring this area for a very long time. They understand the peaks and valleys that we’re witnessing.”
In his evaluation, Mike McGlone, senior commodity analyst at Bloomberg Intelligence, believes that the cryptocurrency market’s sharp turnaround in early August, led by Bitcoin, is just getting started.
(At the time of writing, Bitcoin was trading at $21,416, down 13 percent over the past seven days, Coingecko data shows).
Bitcoin Major Rally just around the corner
After the meltdown of the crypto market in the first half of 2022, according to McGlone, the crypto market will lead other asset classes in a recovery in the second half of this year.
After reaching $3 trillion in value last November, the cryptocurrency market had its worst first half ever, falling more than 70% by July.
According to analysts, the cryptocurrency market has now recovered almost 33% of its losses, but is still down more than 60% from its all-time high.
Meanwhile, Michael states that Bakkt continues to innovate because “customer interest in crypto remains robust.”
The CEO said:
“We continue to expand our crypto capabilities to meet these changing market demands.”
Crypto total market cap at $999 billion on the weekend chart | Source: TradingView.com Featured image from GOBankingRates, Chart from TradingView.com
