Bitcoin was Bubble and 95% of Crypto Will Die Painful Deaths

The last bull run brings a big amount of money in the crypto market. Bitcoin (BTC) prices see a massive growth from $1000 in January 2017 to $19670 in December 2017. The cryptocurrency (BTC) gains more than 2000 percent in the year 2017. Some other cryptocurrency outperformed Bitcoin and gains more than 4000 percent.

Global head of research at Bitwise Matt Hougan said that Bitcoin was a bubble and that burst in 2018. Major cryptocurrencies lost more than 90 percent of their value from the all-time high.  Hougan added:

“It was a massive run-up and a massive pullback. [It was a] total bubble.”

While Financial bubbles carry a negative connotation Hougan says that Bitcoin bubble attracts media attention in the blockchain and crypto market.

Hougan added that the current burst did the same things that happened with the Internet, which brings great talent. A lot of capital and development to the ecosystem. 

Hougan thinks that great things born from that burst. He added that 2018 was a difficult year for the crypto market. 

Bitcoin is the next dot-com. Remember, the dot com bubble created Pets.com and also created Amazon. Hougan said.

Hougan said in the interview that there are more than 2000 cryptocurrencies in the market and 95 percent of them will die a painful death. As soon as that happens is good for the crypto market. From the ashes, we will rise as Amazon, Google, Facebook etc emerges from the dot-com bubble.

Hougan said that millennial generation loves Bitcoin. He added:

“The Greatest Generation love gold, then people loved active mutual funds. Gen X loved hedge funds. Millennials love crypto.”

Bitcoin has seen 5-6 times a 70 percent drop and again start a new rally which is bigger than the previous one. 

Bitcoin adoption is increasing and institutional investors are waiting to enter the crypto space. The next rally will trigger by adoption and regulations. 

From the ashes, Bitcoin will Rise