đŽ âA couple of weeks ago I was pretty positive about the bitcoin super cycle, but right now, given all the fud [fear, uncertainty and doubt] and all the emotions that have been stirred up in the community, Iâm less confident about it now, to be frank,â Binance founder Changpeng "CZ" Zhao said in a broadcast on Binanceâs social network, referring to accusations that Binance was behind the October bitcoin price flash crash that caused one of the most violent liquidation cascades the market has ever seen.
âThere is no organic use case reason for bitcoin to slow or stop its descent,â
Michael Burry, wrote in a blog post, adding that if the bitcoin price plunges to $50,000,
Bitcoin mining companies that secure the network and process transactions in exchange for fees and newly minted bitcoins could face bankruptcy.
Bitcoinâs continued weakness in the face of a gold and silver rebound have also piled pressure on traders who are increasingly rotating into the metals.
âWeâre witnessing in real time a collateral crunch,â David Mercer, the chief executive of LMAX Group,
âThe more fud you kick up and the more you get the community all riled up, it does have negative effects. Right now, weâre living in a very turbulent time, globally, geopolitically. Itâs very hard to predict whatâs going to happen next," CZ said, adding thereâs going to be âvery high volatility.â
CZ said he thinks a bitcoin âsuper cycleââin which the market breaks its historic dependence on a a four-year cycle centered around bitcoinâs halving system of supply cutsâis still possible but far less likely, putting its chance of happening at just 50%.
