The price of bitcoin and trading volumes may continue to fall for another one and a half years. Arthur Hayes, head of the BitMEX cryptocurrency derivatives trading platform, expressed this opinion in an interview with Yahoo Finance.
My view is the volatility environment that exists right now could persist for another 12 to 18 months, the flatness. I’m just basing it off my previous experience. I started in bitcoin in 2013 when the price went from $250 to $1,300 and then 2014 to 2015 was sort of the nuclear bear market. Price crashed, volume crashed — very, very difficult to make money.
He added that trading volumes may be even lower than now.
While the head of BitMEX sees a bearish mood in the market, other representatives of the industry are still more optimistic
The market is blowing off some steam right now. I think the market is probably going through some healthy consolidation but I do believe the long-term trend will be greater adoption of bitcoin and similar technologies.
The head of the Hacera project Jonathan Levy agrees with this position. According to him, Bitcoin is undoubtedly getting cheaper, but he himself and the underlying technologies are used more and more often.
The price of bitcoin is undoubtedly in a bear market but in the application of bitcoin and other blockchain projects we are in fact in a bull market. Most of the EU banks are actively investing in blockchain and that all originally stems from bitcoin.
Despite the decline in trading volumes and volatility, contracts for an amount in excess of $ 1 billion are concluded on BitMEX daily. Earlier this year, the amount of contracts on the platform exceeded $ 8.5 billion per day.