David Marcus: The bear market won’t end in 2023

Cryptocurrency prices can be very volatile and are influenced by a wide range of factors. These elements include market demand, regulatory changes and technological developments. It’s always a good idea to do your research and make your investment decisions carefully. Today it is clear that investors overall remain pessimistic. Such is the case with Davis Marcus, a former Meta executive who has become a proponent of the Bitcoin Lightning Network. According to him, 2023 will be “another difficult year” for cryptocurrencies in the wake of the FTX scandal.

A bear market destined to last over time

According to David Marcus, cryptocurrencies will need at least 2024 to recover from the abuses of unscrupulous actors. In a blog post published on Dec. 30, David Marcus, CEO and founder of the Bitcoin company Lightspark, disappointed the most optimistic with his outlook for the next few years.

Less than two months after the FTX crash, the repercussions continue to wreak havoc on sentiment and price action. For Marcus, best known for his role in the crypto industry at Meta and, before that, PayPal, the bad actors have a lot to answer for and their specter will linger in the crypto industry beyond 2023.
Though he only mentioned FTX once, he referred to what he called “unscrupulous actors.” These will cause the market to underperform beyond next year as well, she said.

If hodlers were to wait for their portfolios to turn positive again, this could further disrupt bitcoin (BTC) historical patterns. This pattern translates into two/four year split cycles. These cycles, which tend to produce growth in specific years, could be challenged. The year 2024, the year of the upcoming halving, is increasingly seen as a period of upward price movement, with some predicting the upward trend to start a year earlier, in the second quarter of 2023.

However, even if the recovery will take longer than expected, Marcus believes a new, stronger sector will be in place by then.

Opinions divided by FTX deal

Following the FTX affair, a number of personalities took the floor. Among them is the CEO of investment giant ARK Invest, Cathie Wood. You say in a mid-December 2022 tweet that the Bitcoin blockchain did not fail during the crisis caused by opaque centralized actors. No wonder Sam Bankman Fried didn’t like bitcoin, she says. This is transparent and decentralized, factors they cannot control. However, the accounts are there and the price of bitcoin has paid its price for these players.

Price of BTC in dollars over 180 days. Source: Coingecko

In terms of price action, opinions continue to differ on how the first quarter of 2023 could play out. Some think the worst of the last bitcoin bear market is already over. Others continue to warn of a deeper Bitcoin price crash. The latter predict a bitcoin at $10,000, or even less.

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Krull's avatar
Krull

To the angelism of the intercessors of the current monetary system, I oppose DeFi, digital assets and the metaverse. Lawyer in Luxembourg, I am interested in cryptocurrency investment funds.

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