The dramatic rise of Bitcoin in 2017 had many naysayers calling it one of the biggest speculative manias in history. So far in 2018, Bitcoin has dipped almost 90 percent after soaring more than 1300 percent last year. Needless to say, the currency’s recent crash may help cement its place in the bubble record books.
One of the most influential and recognized members of the crypto community has urged cryptocurrency investors to be patient amid a bear market that has affected a majority of digital currencies.
During a conversation with Forbes, the CEO of Binance Changpen Zhao, better known as CZ, compared the recent crypto market meltdown to the dotcom bubble where Nasdaq lost 78 percent of its value. And, according to him, the crypto market will recover faster than the Nasdaq, Daily Hodl reports. He said:
“The crypto industry will stay. I think that’s not going away. The blockchain technology will stay. Adoption will just increase over time. This is very different than the Nasdaq. The Nasdaq is much bigger volume. Their market cap is much bigger. So when you have a big ship that goes under and then coming back, it moves slower. So it takes a long time. I think things will happen much faster in the crypto space. So I’m very confident about it.”
Zhao believes that the cryptocurrency market will pull through in the coming months. Thus, he encourages investors to hold on.
“Recently, there’s been a lot of positive news for crypto. The Nasdaq’s running an exchange. NYSE is running a crypto exchange. They’re listing futures contracts. There’s a lot of new developments, a lot of new companies, a lot of new people joining in this industry.
So I’ve only seen positive stuff happening, but the price keeps dropping for the last while. So, it doesn’t make sense to me. But what I know for certain is price will always catch up to value. So right now they’re diverging, which is kind of weird. But I’m very confident that sooner or later you’ll converge back,” he concluded.