Yi He – the co-founder and chief marketing officer at Binance, the world’s largest and most popular digital currency trading platform – does not feel we are in a crypto winter despite the heavy price slumps traders have been witnessing as of late. He doesn’t think the current state of the space is anything people really need to worry about.
Yi He Isn’t Too Worried
In an interview, He stated:
If you just look at the price of bitcoin right now, I don’t think it is totally winter. Every time there’s a winter, it’s always warmer than the last winter. So sometimes, you can say it’s 100 percent winter. Like if you look at 2014, 2015, or like two years ago, I think the nastiest things are probably stronger than last summer. So, for the moment, I don’t really feel it’s so terrible.
He instead commented that the crypto space is very much experiencing what the dot-com industry experienced in the early 2000s. She says that there has been too much mindless publicity surrounding crypto in recent weeks and months, pointing specifically to the many sports ads and commercials about crypto that were featured during this year’s Super Bowl. She stated:
I think we are very close to losses that match the time of the internet bubble.
Binance has stirred controversy as of late when it was one of only a few cryptocurrency trading platforms (the other being Celsius) that halted digital currency transactions – if only temporarily – during the height of the recent crash. The price of bitcoin – which was already treading on thin ice at around $29,000 – fell another $6,000 overnight to about $23,000, and BINANCE – claiming there was a transaction glitch – ultimately paused all withdrawals for approximately 30 minutes before allowing activity to resume.
The fall of crypto prices appears to be stemming from national concern surrounding recent Fed behaviors. Many believe the agency is going to hike rates even further as a means of combating inflation and the economic turmoil the world continues to witness. At the time of writing, bitcoin has lost nearly two thirds of its value since mid-November of last year.
Will Ethereum Be the King?
He refused to comment on where bitcoin and Ethereum will be in the next six to 12 months. However, she is confident that over the next four years, we will see prices gradually start to rise again. She believes this is likely to occur largely due to the next bitcoin halving, which is scheduled for 2024. She also thinks Ethereum will prove itself to be a much larger coin than initially anticipated. She said:
It’s just like a luxury shopping mall. Their gas fees are high, but they have most of the traffic. They are also rich, and a lot of original users are on it.