Friday’s crypto market decline could mark the early stages of a bull run, according to a crypto trader.
“I think there is a very good chance that this is the start of the bull market,” said crypto trader Alex Becker said in a video published on YouTube on Saturday.
“I think selling now is the dumbest thing you could ever do,” Becker said. Jan3 founder Samson Mow echoed a similar sentiment in an X-post on the same day: proverb“It’s time for the next step for Bitcoin.”
Becker’s comments come after Friday’s crypto market collapse eclipsed any previous downturn, as Bitcoin (BTC) fell more than 10% to $102,000 following Trump’s announcement of a 100% crackdown on China. The $19.31 billion in liquidations was more than ten times the losses during the COVID-19 crash ($1.2 billion) and the FTX collapse ($1.6 billion).
The eradication of the crypto market “just resets everything”
The crash sent shockwaves through the global crypto community, but Becker called it a “huge overreaction” and said the significant wipeout “just reset everything.”
Becker argued that traders became frustrated after Bitcoin enjoyed a year-long rally while the rest of the crypto market lagged.
“I think that’s going to change,” he said. “This has driven people crazy, and you’ve seen market makers pull the levers up and down,” Becker said, adding:
“Everything they do to the market is three to four times overreacted because people are not going to just wait a few months to get the gains they need.”
According to Becker, the sharp correction was partly caused by “continuing impatience” among investors in recent weeks.
Bitcoin price will rise in short term, analyst says
Bitcoin hit a new high of $125,100 on Monday, but still falls short of the $250,000 year-end targets predicted earlier this year by names like BitMEX co-founder Arthur Hayes and Unchained’s market research director Joe Burnett.
Related: Market crash ‘has no long-term fundamental implications’ – Analyst
Crypto analyst Benjamin Cowen shares the same optimism as Becker. “I still think it will continue to rise in the short term,” Cowen said said of Bitcoin, indicating Bitcoin Dominance recovers 60% on Friday.
Economist Timothy Peterson was more cautious, telling Cointelegraph on Sunday that Bitcoin will likely enter a “cooling off” period of three to four weeks before the asset resumes its rally. “But maybe at a slower pace than before,” he said.
The broader industry is more skeptical, with The Crypto Fear & Greed Indexwhich measures overall sentiment in the crypto market, posting an ‘Extreme Fear’ score of 24 in its Sunday update.
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