Nicholas Merten, a crypto trader and the creator of the DataDash YouTube channel, joined Pandoraland’s Crypto Trading Secrets podcast for an interview with host Benjamin Pirus, going over a variety of subjects, including his opinions on the state of the crypto market. “I believe that today, we’ve been going through what can just be viewed as a period of consolidation,” he stated when asked about his ideas on the price of Bitcoin (BTC) as of Jan. 9, the date of the interview.Bitcoin largely traded sideways for part of November and the majority of December. January, however, has seen the property increase from below $17,000 to above $23,000. Looking back at Bitcoin’s cost chart reveals the property near the start of its ascent on Jan. 9, sitting in the low- to mid-$17,000 range.

Merten noted that he likes to look at the huge picture. “I believe crypto is going through again this period of huge restructuring that I think is going to be general great for the area long term, however I think people rather underestimate simply the length of time this could truly play out,” he discussed, including:

“The damage that was done by companies like FTX and Celsius, Three Arrows Capital, the whole mess with LUNA, is actually going to leave an irreparable scar on the market, and I think we require to comprehend not just how that contagion continues to play out however that it’s playing out in this little micro space within crypto. And when we actually step out into the macro point of view, the big-picture view, we truly start to see with inflation, global supply chain concerns, that crypto is not going to be the leading possession class for some time.”

Throughout 2022, the crypto and blockchain area faced tough times, seeing the collapse of multiple industry gamers. Industry hedge fund Three Arrows Capital and providing attire Celsius both declared bankruptcy in 2022. Digital asset exchange huge FTX, crypto task Terra– with its LUNA and TerraUSD (UST) assets– and others also fell throughout the year, causing causal sequences in the crypto space.

“I say that as somebody who entered crypto around 2016, 2017, who actually rode the wave of the last years in stocks and crypto,” Merten continued. “I believe we require to understand that the end of that secular bull market where times were good, quantitative easing was fresh, there was lots of cash being injected into the economy propping up asset evaluations– I think those times are unfortunately over, and we need to prepare for a cold winter where eventually we can start to search for some indications on bottoming.”

Nicholas Merten of DataDash predicts a ‘cold winter’ for the crypto market

Merten likewise answered an array of other questions throughout the interview. Check out the episode and other episodes from Pandoraland’s Crypto Trading Secrets podcast on Pandoraland’s podcast page, Apple Podcasts, Spotify, Google Podcasts and TuneIn.

The views, ideas and opinions expressed here are the authors’ alone and do not necessarily show or represent the views and opinions of Pandoraland.