• Cryptocurrencies are now “oversold” after the 2022 bear market
• Reto Stiffler expects ‘a clear counter-movement for 2023’
• Above all, Ethereum as a very attractive project that promises increasing returns
After the sharp price drop in 2022, during which billions of US dollars were destroyed, the cryptocurrency market can only rise in 2023. “The pessimism is so great that the slightest positive news can lead to significantly higher prices,” said crypto specialist Reto Stiffler in an interview with “cash.ch”. Investors and traders have drastically reduced their holdings of crypto over the past year, which means the market is now “oversold”. According to Stiffler, the industry will recover from the 2022 crypto meltdown over time – although he considers a return to crypto hype unlikely in the near future. The bad news is now taken into account, so that the co-founder of the Zurich-based company Crypto Consulting expects “a clear counter-movement for 2023”. By the end of 2024, the expert even sees Bitcoin’s potential rising to $50,000.
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The development of Bitcoin, Ethereum and Co. since the beginning of the year seems to confirm Stiffler’s predictions, because since then cyber currencies have been able to post significant gains again. Bitcoin was even able to regain the $20,000 mark.
Stiffler’s crypto fund will ‘tend to ditch bitcoin’
Nevertheless, investors have learned a lot lately, according to Stiffler of “cash.ch”. This also applies to him and his company Crypto Consulting, which has been advising private and institutional investors on investing in cryptocurrencies since 2018 and has an actively managed crypto fund for institutional investors in its program. Following the experiences of the past year, his fund has held all tokens with Swiss banks and brokers since the beginning of the year. […]which are regulated by Finma”. Because Stiffler is also one of the victims of FTX’s collapse. As “Bloomberg” reports, he filed a claim against FTX in the amount of US$895,000.” We believe, like most, that FTX is safe”, the crypto expert told “cash.ch”. In the meantime, however, he has been better trained. For the future, however, Stiffler does not expect no market shock comparable to the failure of FTX – even if there are concerns that the world’s largest crypto exchange Binance is expected to come.
The expert, who according to the “Crypto Valley Journal” has worked as an analyst and fund manager for Credit Suisse, Julius Baer and GAM, is therefore positive about the development of the Bitcoin price. At Crypto Consulting, Bitcoin is valued “more like gold” and as digital gold it is an attractive investment, he said in the “cash.ch” interview. However, his company “will tend to shy away from bitcoin” as it is believed that “other tokens will do better in the next bull market.” Above all, Stiffler has the second largest cryptocurrency Ethereum in mind.
Preferred Ethereum due to real returns
“We see Ethereum as a very attractive project,” the expert told the Swiss news site. This is mainly because Ethereum gives a real return. Because since the conversion of the consensus process for digital currency from Proof of Work to Proof of Stake, there has been the possibility of so-called staking. For this, Ethereum is deposited and linked on the blockchain, and the staker receives a reward in the form of newly minted Ether. “With this so-called ‘staking’, a true ‘yield’ of 4% can be achieved at the moment,” says Stiffler. He sees this as attractive, especially since it is likely to increase in the future. Ethereum “is software that will enable contract automation and the Internet of Things (IoT) in the future. This will lead to higher returns in the medium term,” the expert is certain. Because with the increasing adaptation of Ethereum, the corresponding network also generates more fees. According to the crypto expert, this will in turn cause either the return for stakers or the Ethereum price itself to increase over the next couple of years.
With Bitcoin, on the other hand, there is no comparable return, as the network generates only a small fee and these would also go to miners and not token owners, according to Stiffler. In addition to Ethereum, Synthetix or Curve would also give real returns. However, Ethereum is “the dominant blockchain operating system with considerable potential.”
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