Changpeng Zhao, the CEO of Binance, who has been criticizing the regulations from all sides recently, evaluated the great declines in the crypto money markets since the beginning of May.
“Too many investors who did not believe in this field”
Speaking in an interview with CNBC from the US media, Changpeng Zhao stated that the great price collapse is healthy for the market in the long run and used the following statements:
“I think a little reset was necessary and frankly it is healthy. Cryptocurrencies have recently attracted a lot of investors who do not believe in this space. Usually these were speculators. Such a situation should not be on a large scale. However, the market becomes overblown and after a while There are also decreases. However, I am of the opinion that these decreases are healthy."
“The market is healthier than when Bitcoin was 69k”
Stating that weak investors were cleared from the market, even after a "suffering" event like Terra LUNA, Zhao said that the market is much healthier than the ATH level in November:
“Of course, the Terra LUNA collapse hurt a lot of people. However, it should be noted that too many weak investors have also been cleared from the market. The market is now much healthier than it was 6 months ago or 9 months ago when Bitcoin was 69k. "We see that people who stay in the market work, produce and develop applications. The investor who does not go out of the industry has a long-term perspective… As I said, the market is in a much healthier position than the level at which ATH does."
Bitcoin (BTC) closed the month of July with an increase of 16.8% at $ 23,293 after a 3-month series of declines since April. While Bitcoin has continued its downtrend since November 2021, it showed signs of recovery in the first quarter of the year, but after the sales that started in the $ 45,500 band in April, it determined the bottom of the year at $ 17,622 in June, and decreased by 61 percent in the 3-month period. Continuing with a 50 percent loss in value since the beginning of the year, Bitcoin seems to have started the second recovery move of the year by closing July positively.