Morgan Stanley Wealth Management has suggested that the “crypto winter may be in the past and that crypto spring is likely on the horizon.”
Morgan Stanley Wealth Management has suggested that the “crypto winter may be in the past and that crypto spring is likely on the horizon.” The investment manager notes that the trough of Bitcoin (BTC) in previous crypto winters has occurred 12 to 14 months after the peak. With Bitcoin reaching an all-time high of around $68,000 in November 2021 and bottoming out a year later, a 50% increase in price from Bitcoin’s low is typically a good sign that the trough has been achieved.
The world’s largest cryptocurrency has risen over 77% from last year’s lows. The magnitude of the Bitcoin drawdown is also important, the wealth manager said, noting that previous price troughs were about 83% off their respective highs.
The post also highlights the impact of halving events, which have historically triggered bull runs lasting 12 to 18 months.
“By intentionally limiting the supply of new Bitcoin, the shortage caused by the halving can affect the price of Bitcoin to potentially spur a bull run,” strategist Denny Galindo wrote. There have been “three such runs on Bitcoin since its inception, each lasting 12 to 18 months after the halving.”
Let us know what you loved about this article, what could be improved, or share any other feedback by filling out this short form.
This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators.
This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice.
The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap.
