Mark Yusko, founder, chief investment officer and managing director of Morgan Creek Capital Management, talked about four cryptocurrencies he believes can withstand a possible crypto winter. According to the Business Insider report, Yusko said that smart contract-enabled blockchains Solana (SOL), Avalanche (AVAX), Cosmos (ATOM) and Polkadot (DOT) are among the crypto assets that have survived the bear market.
Commenting on the popular altcoin Solana, Morgan Creek founder Mark Yusko said that the seventh-largest asset by market cap is a “great protocol.”
"There's probably still some potential volatility in the price ahead. But in the long run, I think it's a great protocol."
Bear Market Before Bitcoin Halving
Yusko, on the other hand, claimed that cryptocurrencies will be in a bear market for the next 12 months before the next Bitcoin halving event starts a bull cycle.
“What you are seeing is that cryptocurrencies will definitely be in a bear cycle. We will struggle for the next 12 months, then go back to the next bull cycle triggered by the next halving.”
Bitcoin (BTC), the forerunner of cryptocurrencies, undergoes a process known as "halving". This halving process takes place every 4 years. The halving process is integrated into the protocol used by Bitcoin's mysterious inventor, Satoshi Nakamoto. So, with the last Bitcoin (BTC) halving event taking place in May 2020, the next one is expected to take place in the first six months of 2024. Yusko also said that Bitcoin is not associated with stocks, but it may appear that way on shorter timeframes.
“You can't calculate correlation in the short run. And yes, it's true that 'all correlations go to one' in times of stress. Take it away, Bitcoin's correlation with stocks is 0.15 for long periods. Some weeks, some months it goes up, but in the long run it's still 0.15 and bonds. is 0."