Crypto Winter Will Last 250 Days More – Grayscale

According to a Grayscale Investment report, if previous market cycles repeat, the bear market could continue for another 250 days.

Grayscale notes that the cryptocurrency market tends to repeat cycles. Bitcoin market cycles usually change every 4 years or approximately 1275 days.

The company defines a Bitcoin cycle as when the sale price of an asset falls below the current market price. With this data, you can determine how many positions are profitable, if still profitable.

The math in this case is pretty simple. The selling price is determined by the sum of all assets at their purchase price, divided by the market capitalization of the asset.

On June 13, Bitcoin’s realized price fell below the market price, signaling the start of a bear market.

According to Grayscale, this period will continue for about 250 more days if the duration of this cycle repeats the pattern of previous cycles. In addition, the company believes that this is a great opportunity for investment.

Grayscale marks several significant cycles in the history of cryptocurrencies. The period 2012-2015 is remembered for the rise and fall of the Silk Road darknet market and the infamous Mt.Gox debacle that led to the first major bear market. The development of Ethereum, major exchanges and wallet providers has led to a gradual reversal and ascent to new heights in the market.

From 2016 to 2019 there was a boom in initial coin offerings, made possible by the smart contract functionality introduced by Ethereum. At the end of 2017, the second major bear market began, during which most of the capital that came in at the end of 2017 left.

The market cycle that began in 2020 will be remembered for the popularity of leveraged trades and multiple sell-offs of cryptocurrencies after falling prices since November 2021, as well as the collapse of the Terra (UST) ecosystem and the fall of large lending companies like Celsius and Three Arrows Capital.

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