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Crypto visionary and founder of TRON, Justin Sun, says "the crypto market is still moving toward its equilibrium".
There are few people with such an impressive background as Justin Sun. He is the protege to Jack Ma, founder of Alibaba, listed by Forbes among the "30 under 30 in Asia", and founder of the TRON Foundation (TRX).
I had the opportunity to ask Justin a few questions concerning Bitcoin's meteoric rise, breaking the $40,000 barrier with projections that it could reach $300,000 or more in 2021, and increasing %400 in Q4 of 2020.
As one of the leading minds in the crypto space, it's perhaps not surprising that Justin is feeling bullish on BTC -- and on altcoins and the role of crypto overall in the global economy.
Justin's responses are presented here with some editing for length.
Where do you see BTC going in 2021?
Bitcoin has been one of the top stories of 2021 everyone and their grandma is talking about BTC this year. Doomers, nocoiners, and bears like to use every opportunity to point to the death of bitcoin or to equate crypto to the dotcom bubble.
In my opinion, the recent correction of BTC is a reflection of a healthy market with active traders and investors.
BTC still has a ways to go in terms of price growth, In December 2020, a leaked Citi report revealed one of the bank's senior analysts thinks bitcoin could potentially hit a high of $318,000 by December 2021. Although it’s anyone’s guess what the price of BTC will be at the end of 2021, we know for certain that the bull market is here and it looks like it’s here to stay.
"Altcoin Season" -- has this happened but not as dramatically? Do you expect it to happen for ETH or anyone else?
Historically we have seen the altcoin season take off as Bitcoin achieves record-high prices. Notably, when BTC breached its all-time high in the past two bull cycles, altcoins have typically rallied in its wake. With BTC price skyrocketing alternative cryptocurrencies are now looking mighty cheap in comparison, this time around investors have a plethora of choices and the market is extremely bullish.
Altcoins like ETH and LTC don’t need me to cheerlead on their behalf and have already seen significant gains during this bull run. However. with negligible transaction fees and a rapidly expanding DeFi ecosystem, TRON is quickly heating up as a hotbed for DeFi innovation.
What are people NOT paying enough attention to -- there are so many factors, it seems you have to account for the global economy, buyer sentiment, regulation which is hard to predict, etc.?
The average individual buying crypto during a bull run has minimal to no real grasp of cryptonomics, the impact of regulation, institutional investment, buyer sentiment, and the global economy impact the price movements of BTC. This is enough to scare most novice investors...
...one thing to keep in mind is that the crypto market is still moving towards its equilibrium and we are bound to see pumps and retracements.
Another thing that most people don’t generally consider is the key differences between the different chains. Bitcoin and Ethereum are very slow and ETH especially has exorbitant gas fees which act as a barrier to entry. TRON, on the other hand, is extremely fast, cheap, and highly scalable which is a huge plus for mass adoption.
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