Bitcoin Price Falls, Huobi Crypto Exchange Founder: We Are Now In The Early Stages Of Bear Market

Bitcoin is said to be still in the early stages of a bear market. (Photo; Kanchanara-Unsplash)

JAKARTA – Co-founder of the Huobi crypto exchange, Du Jun revealed that currently is the initial stage of a bear market. Du Jun made this statement in an interview with CNBC that discussed when the next Bitcoin bull market would be.

Reporting from Bitcoin.com News, the head of the Huobi crypto exchange explained that the bitcoin bull market is closely related to the halving that occurs every 210,000 blocks or approximately every 4 years. The next one will happen in 2024.

For information, halving or Bitcoin halving is a condition when the reward (block reward) for Bitcoin miners is reduced by half after mining 210,000 blocks.

Du Jun explained that the last halving occurred in May 2020. Then Bitcoin hit an all-time high price (ATH) above 68,000 US dollars per coin in 2021. Similarly, it happened in 2016, bringing Bitcoin price to a new record. In the following year, the price of Bitcoin fell after breaking through ATH.

Given that Bitcoin price has fallen around 40 percent after its ATH in November 2021, Jun said the above pattern is still continuing.

“We are now in the early stages of a bear market… Following this cycle, it will not be until late 2024 to early 2025 that we can welcome the next bull market in bitcoin,” said Du Jun.

Even so, he admits that it is currently very difficult to accurately predict the movement of the world's number one crypto. The reason is that there are many factors that influence the crypto market, such as geopolitical issues and Covid.

“It is very difficult to predict precisely because there are so many other factors that can affect the market as well — such as geopolitical issues including war, or the recent Covid, also affecting the market.”

In addition to Du Jun, an analyst from Switzerland's largest bank, UBS, also said that he is currently in the crypto winter after warning that the crypto winter is happening amid expectations of rising BTC prices and also the Fed's interest rate regulation. Last week, veteran futures trader Peter Brandt also pointed out that Bitcoin's correction period is still long.