Kevin Helms
A student of Austrian economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects and the intersection of economics and cryptography.
We’re in the Next Bull Market Cycle – Markets and Prices Bitcoin News
Crypto-focused investment firm Pantera Capital says bitcoin has seen its lowest levels and “we are in the next bull market cycle.” Dan Morehead, the firm’s founder and managing partner, noted: “Over the long term, the bitcoin price has been in a secular uptrend of 2.3 times annually over the past twelve years on average.”
Pantera Capital in the next bull market
Pantera Capital published its February Blockchain Letter last week. The letter, titled “The Seventh Bull Cycle,” was written by founder and managing partner Dan Morehead and investment associates Ryan Barney and Sehaj Singh. Pantera Capital is an investment firm specializing in cryptocurrencies, digital assets and blockchain technology.
Citing his analysis of bitcoin price cycles in the letter, Morehead tweeted Thursday:
I believe that blockchain assets (using bitcoin as a proxy) have seen the lows and that we are in the next bull market cycle – regardless of what happens in the interest rate sensitive asset classes.
“It would be the seventh bull cycle, after six bear cycles,” he noted. Morehead explained in the letter that Pantera has been through 10 years of bitcoin cycles and he has traded through 35 years of similar cycles.
The Pantera Capital founder pointed out that the BTC price decline from November 2021 to November 2022 was “the median of the typical cycle.” He added: “This is the only bear market that more than completely wiped out the previous bull market. In this case, it returns 136% of the previous rally.”
“The median downdraft has been 307 days and the previous bear market was 376. The median downdraft has been a -73% downdraft and the last bear market ended at -77%,” Morehead continued. “I think we’re done with that and starting to grind higher.”
Morehead further noted:
Over the long term, the bitcoin price has been in a secular uptrend of 2.3x annually over the past twelve years, on average.
Do you agree with Pantera Capital founder Dan Morehead that we are already in a bull market cycle? Let us know in the comments section below.
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