With crypto markets down 67% this year from their all-time highs of 2.9T in November of last year, I want to look at where this market is going over the coming months and year.

Recently, the crypto market has been in a bear cycle for the past year. This is not surprising, as we have seen this cycle historically. In fact, on average, a bear market for crypto currency lasts 3-4 years

Stock market is also down. How does the stock market relate to crypto? I compare crypto to momentum stocks that tend to be riskier. There is no direct correlation between the stock market and the crypto market. Since the boom to nearly 3 trillion though, the market has followed the stock market relatively closely. This makes sense to me because we have institutional money investing into crypto as of the latest crypto bull run.

Where will crypto markets go over the next year? I suspect we’ll see it decline slightly more and then go flat. I still don't think we've seen the bottom of the financial markets and really I think we will see some type of flash event where a large company fails. When this happens, I don't expect people to flood into risk-adverse crypto markets. Instead, I see another 20-30% decline coming when this flash event occurs. What happens next is anyone's guess (even what happens within that flash event is anyone's guess, I've seen a dozen theories) but eventually I see this being a catalyst to bring in more interest to crypto and eventually push us towards a new bull run in 2024 or 2025

Either way, crypto markets are poised to grow in the long term future. With such a volatile environment and significant changes in prices, it’s hard to know what will happen over the next year but i remain incredibly bullish in the long run.

Remember this isn’t investment advice. Just some personal thoughts. What do you think? Agree or disagree?