Speaking at the 2018 Global Tech Forum in Guangzhou, American venture capitalist Jim Breyer gave his two cents on the current state of the crypto market. Despite the recent crypto market meltdown, the billionaire investor remains fully bullish on cryptocurrencies. He said the technology is too big to be dismissed just because of a temporary bear market. Even so, he warned that “we’re close to a nuclear winter right now with cryptocurrency.”
Breyer noted that the current market situation is not rare at all. Such periods occur in cycles, and the current cycle will finally come to an end.
The investor who has invested in Circle, VeChain, and Ethereum described the present market situation as an unavoidable part of a market process that must take place at least once in every ten years.
According to him, the blockchain technology, which is the technology that underpins crypto assets, has achieved a lot in terms of research and mainstream adoption. This makes the future of cryptocurrency bright.
Coindoo recently reported that the falling prices of Bitcoin and other major cryptocurrencies had hurt the crypto mining industry. It has created a situation where mining is no longer profitable. And for this reason, miners have started offloading their mining hardware.
The largest cryptocurrency by market cap Bitcoin recently shed nearly 30% of its value. It is now struggling to remain above the $4000 mark. Some analysts have also claimed that the currency must plummet even further in order to establish a bottom. The popular cryptocurrency is now worth $3909 with a market cap of $68 billion.
The market bloodbath has affected other players in the cryptocurrency space. For example, Bitcoin Bull Mike Novogratz recently said that his Galaxy Capital made a loss of $41 million in the 3rd quarter of 2018. The loss brought the total company’s losses for 2018 to 136 million dollars.