Du Jun, co-founder of Huobi, one of the world’s largest cryptocurrency exchanges, spoke about the bitcoin market, stating that the next bull market is expected to start in late 2024 or even early 2025.
More specifically, Du Jun believes that halving – a process associated with the mining of the most popular cryptocurrency that takes place every four years – is the cause that occasionally pushes up bitcoin prices, with the co-founder of the Huobi exchange timing the next rally to occur in late 2024 or early 2025.
Related: The Halving Explained (Litecoin/Bitcoin)
Halving is able to cause inflation in the price of cryptocurrency, reducing the number of bitcoins in circulation and increasing demand for them as it becomes less lucrative for miners to carry out cryptocurrency mining.
According to Du Jun, the last time halving took place was in May 2020, a few months before bitcoin hit an all-time high of $69,000, and a similar incident occurred in 2016, while in 2017 bitcoin had reached a -then- historic high of $19,300.
“If this cycle continues, we are now in the early stages of a bear market,” Du said, at a time when the popular cryptocurrency is now almost 40% away from its November highs.
“After this cycle, we will be able to welcome the next bull market in bitcoin by the end of 2024,” Du added.
However, the Huobi co-founder stresses that bitcoin’s exchange rate against the dollar is also affected by a number of other factors, such as the international economic situation, geopolitical tensions and pandemic, underlining that it is very difficult to predict the path that bitcoin will take in the coming years.
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Finally, it should be noted that on Monday morning, bitcoin is up 2.3% to $39,229, while other cryptos are also moving up, with Ethereum at 2,742 (+4.3%) and Litecoin at $113 (+2.7%).