Bitcoin could take years to reach $69,000, says Binance boss

According to the head of the world’s largest cryptocurrency exchange, Bitcoin could remain below its $69,000 peak for the next two years.

Changpeng Zhao, Founder and CEO of Binance, told The Guardian that it could take “a few months or a few years” for the crypto market to recover.

This month, the market value of cryptocurrencies fell below $1 trillion for the first time since January 2021.

Since hitting its all-time high of $69,000 in November, Bitcoin is down nearly 70%. The crash of the most popular cryptocurrency has wiped out gains for many long-term Bitcoin holders.

Zhao noted that four years ago, people would have been happy with Bitcoin’s current value of $20,000. The digital currency previously fluctuated between $13,000 and $6,000 in 2018.

“I think given that price drop from the all-time high of 68k to now 20k, it’s probably going to be a while before we get back to that. It will probably take a few months or a few years,” Zhao told the Guardian, adding that “no one can predict the future.”

“If you look at the floor [of bitcoin], at the moment it is higher than the last peak. Normal or not, I think as the industry is still definitely growing, price fluctuations are normal.

On Thursday, Bitcoin was trading at $21,058, according to CoinMarketCap.

While there is no specific reason for the crypto crash, experts have suggested that the broader global climate is to blame and not anything to do with the currency itself.

Alongside the cost of living crisis, inflation has soared in recent months – the UK hit a 40-year high in May – and not only has the UK experienced this, US inflation has also risen to around 8.6 % according to Marketwatch.

All of this means that large investors take fewer financial risks.

Added to this was the failure of the cryptocurrency Terra Luna, which was 98% wiped out overnight. As a result, major cryptocurrency lending company Celsius Network decided to freeze withdrawals.

Last June, Binance was banned from carrying out regulated activities in the UK by the Financial Conduct Authority due to the company’s “failure to be effectively regulated”.

While other crypto giants like Coinbase are shedding 1,100 jobs this month and citing a “crypto winter,” Zhao said Binance is “still hiring.”

MORE : Cryptocurrency Crash: What To Do If You Have A Bitcoin Investment?

MORE: Bitcoin falls to lowest since July 2021