2020 has been an interesting year for the crypto industry, with Bitcoin’s price action being largely driven by the volatility seen within the traditional markets.
Although the future of the benchmark cryptocurrency remains unclear as its buyers and sellers reach an impasse, the Reddit co-founder believes there are a multitude of factors that suggest a “crypto spring” is close to coming to fruition.
Among other things, he points to the talent within the industry as well as the ingress of Wall Street “OGs” into the market.
Reddit co-founder believes the market is entering springtime
The crypto market has been facing a bleak winter landscape throughout the past few years, with Bitcoin’s decline from 2017 highs of $20,000 leading to nearly three years of lackluster price action.
It does seem as though this is starting to change, however, as Bitcoin has been garnering some upwards momentum while also establishing its position on the global stage as a “safe haven” asset.
Alexis Ohanian – the co-founder of Reddit and Initialized Capital – recently spoke to Yahoo Finance about where he sees the nascent market trending next, explaining that he believes a “crypto spring” is quickly approaching.
“What I can say is we really do see a crypto spring right now in terms of top-tier engineers, product developers, designers, building real solutions on top of the blockchain. And that to me is the most interesting part… We’re seeing really top-tier talent building on the infrastructure.”
Ohanian is an early investor in cryptocurrency exchange Coinbase and a long-time crypto advocate.
Although no longer at the helm of Reddit, it is possible that his interest in digital assets has influenced the company’s decision to release Ethereum-based “Community Points.”
Ohanian: Entrance of Wall Street investors shows crypto is here to stay
He further went on to explain that the foray of Wall Street “OGs” shows that the relatively young market is here to stay.
“It’s interesting to see OGs of Wall Street now getting into crypto and buying bitcoin. It’s increasingly showing that it’s here to stay.”
Ohanian claims to hold a significant amount of his wealth in crypto, and he notes that he feels “pretty good about it” due to it rapidly becoming a hedge against global economic turbulence.
The benchmark cryptocurrency has largely decoupled from the traditional markets in recent times, with its price action being more closely correlated to gold than to equities.