Coinbase President Affirms Market Recovery Is Not Surprising, Fully Expects Bitcoin to Rebound
Is the bear market that has haunted Bitcoin and the whole crypto market during 2019 now nearing its end? Nobody is actually sure of this now but it looks like the “Christmas run” of Bitcoin now has seen the prices going up a bit. While not the run that the crypto investors were hoping for, things are progressively getting better and more stable.
After crashing to under $5,000 USD and reaching its yearly low of $3,200 USD, Bitcoin is showing some signs of recovery. The president of Coinbase, Asiff Hirji, has now affirmed that the run is not surprising at all and that it should be continued into the next year.
Hirji spoke to CNBC’s Fast Money and affirmed that, in the market, things are never as bad as they seem, nor as good as they seem, for that matter. Because of this, he is not surprised that Bitcoin is not going down to zero.
According to him, the innovation that was created since last year has exceeded basically everything that was seen for the past five years. Cryptos are, according to him, getting more visible and finally getting very strong use cases.
While many companies had massive layoffs during the bear market, of which ConsenSys, the Ethereum studio, is among the biggest victims, together with Steemit, which laid off 70% of its staff, many companies are thriving in the market.
Hirji’s answer actually makes quite a lot of sense when you think about it. Crypto exchanges may be facing drier volumes but many of them are among the most unscathed survivors of the year as they have seen many more clients than they before.
Coinbase has followed in the opposite direction of the market and launched many new products as well as making several promises for how shiny the future of the company will be in 2019. Hirji believes that it is innovation and not hype that will keep the price of cryptos high.
He says that Coinbase is very focused on adding more products and more regions for its services and that people should expect to see more cryptos over time in the company.
About the institutional products of the exchange, Hirji affirmed that the institutions are entering the market slowly and that, in the future (and now), they will be attracted to the more robust companies. Institutions need a good custodian, he affirmed, and that is why Coinbase is trying to make sure that the company has plenty of liquidity.
Coinbase has a great asset base, a lot of users and is one of the most regulated companies in the space. Its supporters believe that this will be enough to go face to face with other companies like Binance.
Is Hirji right, though? Will the bear market be ended in 2019 and people will be investing more in Bitcoin? As the traditional stocks are seeing heavy hits this year, it is quite clear that Bitcoin has a good chance.