The cryptocurrency market has experienced its most challenging quarter since the FTX debacle, leaving many investors anxious about a potential end to the bull market. However, a panel of experts in the industry believes that the significant upward trends for Bitcoin and altcoins are just beginning.
During a discussion at the LONGITUDE event in Paris, Michael van de Poppe, founder of MN Capital, expressed his belief that the bull market is “truly just getting underway from here.”
Despite Bitcoin’s recent drop below $80,000 amid global tariff concerns, van de Poppe pointed out that “history shows” that tumultuous sell-offs can create ideal circumstances for a market reversal.
He likened the present market decline to the COVID-19 crash in 2020, where Bitcoin fell nearly 40% in a single day.
“That marked the bottom, and since then, Bitcoin has seen a 20-fold increase,” he noted.
A panel featuring three cryptocurrency experts was moderated by a Managing Editor during the event in Paris on April 7.
Eric Turner, CEO of Messari, echoed van de Poppe’s sentiments, stating, “We haven’t really experienced a bull market yet; instead, we’ve seen two distinct sides of the market.”
He elaborated that while Bitcoin saw significant inflows into exchange-traded funds, other segments, such as the memecoin craze, have represented more transient trends.
“The important question is when the bull market will actually arrive. In my opinion, that’s likely to be in Q3 or Q4 of this year,” Turner predicted.
Looking beyond immediate price movements, John Patrick Mullin, co-founder and CEO of Mantra, emphasized the importance of considering the broader landscape in the United States. He expressed enthusiasm about the positive policy trends emerging from the U.S., particularly those from the Executive Branch.
Positive Policies, Challenging Economic Environment
The U.S. leadership is currently revamping cryptocurrency regulations, with legislative efforts advancing towards the introduction of landmark stablecoin and market structure bills.
Significantly, pro-crypto figures have been appointed to key positions, including Paul Atkins, who is progressing towards becoming the chair of the Securities and Exchange Commission.
Despite these advances, the anticipated bull market and substantial capital influx have yet to materialize, primarily due to concerns over other aspects of the administration’s agenda, particularly those addressing perceived trade imbalances.
Trump’s recent tariffs, dubbed “Liberation Day” on April 2, were viewed by many investors as an excessive attempt to fundamentally alter global trade, surpassing the initially proposed 10% universal tariff.
Image Credit: Andrea Junker
This announcement triggered a significant exit from U.S. stocks, the largest since the COVID-19 pandemic.
However, should the market conditions worsen, history suggests that the U.S. Federal Reserve will likely intervene to stabilize the economy, just as it has in previous crises.
“If you reflect on past crises, at some point, the Fed typically steps in to lower rates and inject liquidity to stimulate economic growth,” van de Poppe remarked during the panel session.
“So, the intervention will occur; the real question is timing,” he concluded.
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