Cryptocurrency Still Down From A Year Ago, But Experts See Market Recovery
Last year was difficult for the cryptocurrency markets as many prices fell. But bitcoin has seen a strong rally so far this year, and some mining experts see this as an opportunity for the space to stage a comeback.
When bitcoin prices fell to $16,000 at the end of 2022, profits were cut, Andy Long, CEO of white rock management, which specializes in bitcoin mining, told TechCrunch. However, things can get better: Bitcoin’s price has risen around 39% to around $23,000 since the start of the year, according to data from CoinMarketCap.
That means margins are increasing, said Christian Lopez, head of fintech investment banking and head of blockchain and digital assets at Cohen & Company Capital Markets.
The cryptocurrency is still down from around $44,100 a year ago, but industry members are seeing a silver lining. “If you said to someone this time last year, ‘How would you feel about $23,000 for bitcoin?’ They’d be horrified,” Long said. “We have a pretty short memory, so in a year we’ll be looking at the barrel, and we’re hoping to hit or top an all-time high, and over $100,000 by the end of 2024. . »
Given the rise in bitcoin’s price, miners are breathing a collective sigh of relief, Christopher Bendiksen, head of bitcoin research at CoinShares, told TechCrunch. “The price recovery has relieved the worst pressure from many miners, and margins look much healthier.”
