Does Bitcoin And Crypto Market Need To Crash To Get Better? Reddit’s Alexis Ohanian Thinks So
Critics and experts of cryptocurrency alike have their ideas about what could make the market work in their favor. However, Reddit founder Alexis Ohanian recently was interviewed by CNBC, saying that he does not see the market reaching greater maturity and stabilization without having a crash. This coincides with the seemingly continued crash that the market has gone through in the last few days.
To create a stronger future for cryptocurrency as a whole, the founder believes that software development and a more supportive infrastructure are key. Furthermore, by allowing the market to reach a crashing point, he believes that the weaker tokens would filter out, like the ones that are in for a fast buck.
The innovations of the community right now are making it possible for the cryptocurrency community to survive for the long-term. Even though the blockchain technology proposals have not been as big in quantity, Ohanian believes that they have a greater likelihood of success than the projects that came around last year.
Bitcoin has been going through some troubles in the last few days, bringing in the biggest losses since March 2018. However, despite coming down to $5,202 on November 15th, the trading seems to have picked up slightly. According to CoinMarketCap at 10:15am PST, the current price of Bitcoin is $5,532.24, though some investors believe that this downturn has to do with the recent BCH fork, like Brian Kelly. Kelly is the founder and CEO of BKCM.
Others are as bold as to suggest that they saw this coming all along, like Mati Greenspan from eToro.
“The movement we saw today seemed to be the run-of-the-mill volatility surrounding Bitcoin and a breakout that’s been weeks coming….It’s difficult to say where it ends. No one can really predict.”
Clem Chambers, a Forbes contributor, also noticed the connection with the spike in bonds lately.
“The obvious culprit causing this dump is Bitcoin Cash, the ‘wannabe’ Bitcoin usurper, which forked from Bitcoin last year. It is forking again and there are competing forks and all sorts of conniptions are expected. It sounds plausible this is causing the move but the fact the bond market spiked at the same time suggests something else is going on to me.”
The head of trading at Asia Pacific of Oanda Corporation, Stephen Innes, said the crash was worse than originally anticipated. It is clear that the uncertainty of which Bitcoin chain will take the dominant role has shaken up the cryptocurrency community. Still, Ohanian believes that this is just a necessary step to bring the focus to what is important.