Amid the most recent Bitcoin and crypto market meltdown, CryptoQuant CEO Ki Young Ju argues that it is “way too early to panic.”
The crypto market has been sent into panic over the past few days as Bitcoin, the largest crypto asset by market capitalization, has experienced a sharp decline.
Specifically, the asset dropped to over three-month lows around the $82,300 price level, representing a nearly 25% slump from all-time highs of $109,600 and a 12% drop year-to-date (YTD) from an opening price of about $93,600.
Amid the panic, however, one prominent analyst has argued that the move is just par for the course of a crypto market bull cycle.
“Way Too Early to Panic”
Amid the most recent crypto market meltdown, Ki Young Ju, CEO of leading crypto analytics platform CryptoQuant, has argued that it is “way too early to panic.”
In a thread on X on Thursday, February 27, Young Ju stressed that 30% corrections were typical in Bitcoin bull market cycles. He further pointed out that in the 2021 cycle, the asset dropped as much as 53% but still recovered to form a new all-time high.
Consequently, Young Ju highlighted that max pain for Bitcoin this cycle could be around the $77,000 price point, aligning with a 30% drawdown from all-time highs.
At the same time, the analyst has suggested that Bitcoin will only be confirmed to be in a bear market when it falls below the cost basis of miners. On February 19, he estimated this to be $57,000.
Young Ju is not the only one to suggest that Bitcoin’s recent correction is modest compared to previous cycles.
Glassnode shared similar data on Wednesday, February 26. Unlike Young Ju, however, the platform has previously cautioned that Bitcoin’s next significant support could be around $71,000.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
