History Points to Extended Bitcoin Rebound — Market Talk

Bitcoin has shed over 50% since finding all-time highs last year, raising the question if cryptocurrencies have become passe and not economically viable. But this has happened at least five times before, says Chris Bendiksen of CoinShares in a note, and resulted with bitcoin soaring to new highs. That doesn't make a rebound in prices certain, but it is the pattern that bitcoin has stuck with since its inception. "History suggests that such moments have tended to represent extremes of pessimism rather than the beginning of any structural downturn," Bendiksen says. "On every prior occasion, quantitatively, bitcoin has been worth more one year later than it was at the point of that first touch." Bitcoin is up 2% to $64,712. ([email protected])