Some analysts argue that it will be the “biggest cycle in history.” Experts predict that it will contribute to a new bull run in Bitcoin and Ethereum prices.
Analysts from the Bernstein brokerage assured that a new “cryptocycle” began for the price of Bitcoin and Ethereum and that, in addition, this will be the “first cycle of cryptocurrencies that will see the participation of the main institutional investors.”
It should be noted that Bitcoin and Ethereum have added a total of $400 billion to their market capitalizations so far this year. BTC topped $30,000 last week for the first time since June, though it has since fallen back along with Ethereum.
“Any potential dislocation, whether on the bank credit side or the sovereign side, perfectly positions Bitcoin as a safe haven asset alongside gold.”wrote analysts Gautam Chhugani and Manas Agrawal, adding to a report by Bernstein earlier this month that said it is “irrational” to like gold and dislike Bitcoin at this point in the macrocycle.
The FTX collapse was the catalyst for a new bullish cycle in the cryptocurrency markets, Bernstein said in a research report.
Cryptocurrency exchange crash removed last leg of “toxic cryptocurrency leverage” and taught digital asset investors the importance of decentralization and self-custody wallets, the report said.
According to the note, macroeconomic catalysts are aligning in favor of Bitcoin, the top cryptocurrency by market capitalization, with continued weakness in regional US banks and more deposit outflows into money market funds.
Source: Ambito
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