Bitcoin plunged to a 16-month low as altcoins suffered even more over the past week. Despite rebounding and regaining ground, the situation is still grim, and Charles Hoskinson of Cardano delivered his lead.
Views of Charles Hoskinson
Cardano founder Charles Hoskinson noted that the market is deep in a new crypto winter and it will take weeks or even months to see a bottom, after which there will be some breathing space. According to him, the digital asset markets are in a period of “panic blood in the streets”.
“If this is your first crypto winter, then welcome. Have been through many since 2011 and they always hit like a cold ice bath. We’re in the street phase in the panic blood. It will clear up in weeks to months when a bottom is found. Then a long climb up the ladder.”
Institution vs. Retail
Bitcoin has managed to garner institutional interest, which has often been celebrated. As retail investors continue to hold crypto while exiting an “unfair,” “rigged,” global system, the IOHK chief believes the push into digital assets by “Wall Street types” has exacerbated the recent downturn.
He said that institutional cohorts have dumped their crypto and most view it as a high-risk, high-return asset. He added,
“That’s always been the danger of inviting the Wall Street guys in… And when the markets don’t go in the direction they want them to, they throw it away.” They treat crypto like any other asset, labeling it an exotic, high-risk asset. When markets don’t go where they want, they dump it.”
Many consider the recent turn of events “a black swan and historic” in magnitude. While lamenting the winding-up of UST, the executive said that a collapse would stablecoin or a project exit scam does not mean the end of the entire industry. Hoskinson added that the whole point of the crypto market is to restore lost trust, credibility and stability in the global monetary system.
Source: Crypto News Deutsch