Analysts expect crypto bull market to persist

Renewed US-China trade tensions sparked a massive selloff in the crypto market last month, with Bitcoin plunging from US$122,000 to $107,000 at one point, but analysts are referring to it asa “deep but temporary” reset, adding the bull cycle is not over yet.

- NUNTAWUN POLKUAMDEE

Global crypto markets were rocked in October as renewed US-China trade tensions caused a selloff that wiped out more than $19 billion in leveraged positions within hours. Along with a drop in the Bitcoin price, several altcoins also lost more than half their value overnight.

The turmoil began after China imposed new export controls on rare earth minerals, prompting US President Donald Trump to retaliate with plans for a 100% tariff on Chinese goods. Although equity markets treated the move as a short-term correction, the highly leveraged crypto market reacted violently, triggering one of the largest liquidation waves in its history.

Thanalop Preedamanoch, fund manager at Merkle Capital, said the selloff, though sharp, should be viewed as “a deep but temporary reset, rather than a systemic collapse”,