Shixing “Discus Fish” Mao, co-founder, Cobo and F2pool, shares 2023 cryptocurrency predictions. Mao talks about interest rates, FTX, DCG (Digital Currency Group), ethereum, and the cryptocurrency cycle. He states in the absence of extraordinarily “adverse black swan events or external macro factors worsening,” the bear market has bottomed.
Moving forward in 2023, Mao states, a massive crypto upward trend is expected. He goes on to share that the large-scale DCG liquidation poses no considerable risk. Mao believes Ethereum could surpass a historic mark in March and Q4.
Mao thinks the DCG situation will not “escalate ” any further. He opines that investors’ tens of thousands of bitcoin assets associated with DCG would not be liquidated forcefully.
The Ethereum Foundation has stated that Ethereum’s Shanghai upgrade is almost confirmed to take place in March 2023. The Ethereum Foundation’s history of initiating strategic decisions mostly with an optimal macroeconomic environment is exemplary.
The Shanghai upgrade of Ethereum in March is poised to expectedly subside the staking liquidity risk. Various L2 (more so ZK-based L2) projects have opted to launch testnet or mainnet in Q3 or Q4 of 2023.
Per Discus Fish, two forthcoming events should be kept in mind. The first is that just 470 days are left for the next Bitcoin halving. Replicating Bitcoin’s last ten years’ halving cycle could open an entirely new market phase by the end of 2023.
The second possibility to be mindful of is the cryptocurrency market cycle as a whole has historically seen long bull and short bear markets. As the current bull market began in March last year, Mao believes it will soon be gone for good.
The macro and industry factors’ analysis exhibits that the ailing phase of the bear market is over, and investor confidence will soon be restored. Going forward in 2023, the interest rate cycle might present market hot spots in Q2 and Q4, 2023.