Richard Heart, the founder of proof-of-wait cryptocurrency Hex, has said Bitcoin is in a bull trap based on the asset’s price shift and volatility experienced in 2021.
Speaking to Insider, Heart said Bitcoin is in a bear market that will potentially last for another eight to nine months. He based his Bitcoin market assertion on the previous bear markets.
“I think crypto is in a bear market… I think we’re in a bull trap right now. These systems are reflexive, they don’t have base demand, it’s 90% speculation. The last bear market lasted 364 days – I wouldn’t be surprised if we saw 8 or 9 more months of bear,” said Heart.
According to Heart, his bear market prediction is based on price analysis from the asset’s peak performance in 2017 and 2021. During the previous cycle, Bitcoin plunged 85%.
Heart, a Bitcoin mining investor, projects that the crypto can attain the $50,000 mark. He notes that based on the asset’s historical price movements if a drop of 85% is recorded, it can also hit a low of $10,000.
The 2021 Bitcoin volatility saw the number one-ranked cryptocurrency surge to an all-time high of $64,800 in mid-April to plunging by almost 50% in recent weeks. The drop was mainly due to an increased regulatory crackdown in China. However, Bitcoin is now on a resurgence, trading at $39,300.
Dogecoin to plunge further
Furthermore, Heart also commented on investing in altcoins like Dogecoin. He states that investors can only make money from such coins if they bought them before going viral.
“If someone bought DOGE when Musk was shilling it on Saturday Night Live, they were clearly buying the top. Buying things that are pre-viral is how you get returns,” Heart said.
He also offered a grim Dogecoin prediction stating that the coin could plunge by at least 90%. At the same time, he hit out at Tesla CEO Elon Musk for promoting DOGE, accusing him of playing a role in the asset drop, which might extend further to as low as 2 cents.
Heart said Musk’s accelerated tweets on DOGE have not helped the coin to soar.
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