Crypto Briefing 5/11/23 – The Forecast

Crypto Briefing 5/11/23

Crypto Briefing 5/11/23

Bitcoin will likely continue to experience wild swings throughout the week. BTC is in a broad trading range and continues to oscillate between $27,000 to $30,000. We expect to see a major washout in both crypto and equities in the fall, where Bitcoin could retest and potentially undercut its lows. With Web 3.0 and the traditional finance space in a precarious state, we could see a black swan event that triggers another market meltdown.  There is also a possibility that crypto is in for another round of corporate insolvencies. After ending their operations in the United States, major crypto exchange Bittrex just declared bankruptcy.  One of the most unsettling occurrences this week was the world’s largest crypto exchange, Binance, temporarily freezing Bitcoin transactions. If an exchange such as Binance went out of business, it would cause a market meltdown that would make FTX and Terra Luna’s collapses seem trivial by comparison.

Memecoins are regarded with antipathy by people with an interest in Web 3.0. However, we believe that the recent price action seen with the coin PEPE could be an indication of what could occur during the next crypto bull run. PEPE saw a sharp and brief rally with an extreme amount of volume. From 2024-2025, altcoins will likely go on shorter rallies than seen before and deliver smaller returns than previous bull cycles. This next bull run in crypto will be where the early majority of people buy into the hype and are left holding the bag.