We are Unlikely to See a Bull Run on Any Cryptocurrencies

Joel Birch, the co-founder of Stacked, stated that cryptocurrency prices would see affects from the challenging global economic atmosphere. 

Retail bull run likely wont occur in 2020 according to Birch. The global economy is still holding on to this industry, as are the other financial markets. However, Birch said that his expectations remain very positive.

The COVID-19 pandemic turned the global economy upside down, as preventive measures shut down businesses and stopped travel. In the United States, in particular, the unemployment rate is enormous. Although it appears to be improving, economies continue to go through a period of uncertainty.

Bitcoin could maintain upward pressure towards $14,000 or $15,000 

In light of the challenging economic situation, Birch remains pessimistic about conventional markets, including real estate. While he doesn’t expect a market-wide rise in cryptocurrency prices, Birch said he doesn’t expect a significant drop. He noted that the cryptocurrency market could see Bitcoin maintaining moderate upward pressure towards $14,000 or $15,000. 

Birch says that the exception is within DeFi, or food-named coins. If you pull out a mac and cheese token one day on Uniswap, there is a good chance that it will make a 1000% profit in two hours, and then there is a great possibility that it reaches zero.

 Companies, services, and projects continue to move forward, so significant progress in the cryptocurrency industry is expected. His own company, Stacked, just completed a round of seed funding, securing $1 million of total capital from several industry players, including Alameda Ventures. Stacked saw more than $2 billion in volume during 2020.

Birch said the industry’s growth is evident, based on its interactions with numerous entities in the space during its search for funding for the initial round. Between now and the end of the year, some serious players will start to emerge, he added, noting that products, services, and companies continue to gain ground among the mainstream public.