Bitcoin’s cycles are changing — Bloomberg analyst Jamie Coutts explains how and why

In the latest episode of Cointelegraph’s Market Talks, host Ray Salmond speaks with Jamie Coutts, a chartered market technician and crypto market analyst at Bloomberg Intelligence. 

When asked whether Bitcoin’s (BTC) pre- and post-halving price action could differ from previous cycles due to a change in global monetary policy, Coutts said: 

“I’ve been writing about this for most of the year. We do have some strong fundamentals in the space, but ultimately, what drives risk assets is liquidity. The longer that we have this tightening cycle, and if we start to see an uptick in unemployment and more stress in the banking sector, then there could be a bit more pain for risk assets like Bitcoin.” 

Related: The future of BTC mining and the Bitcoin halving

Despite the dim macroeconomic outlook, Coutts did suggest: 

“We could be near the end. There is still a lot of underlying stress in the U.S. banking system and other areas of the economy. I think this is somewhat different to any other Bitcoin cycle that we’ve seen, but ultimately, people will need to keep in mind that we are living in a fiat and credit-money-based money system, and inevitably, there will need to be a return to some form of easing because essentially the system cannot handle long periods of deflation. So, it is still Bitcoin, and to some degree, crypto assets that have control of their inflation schedules that will do well when things start to resume.” 

To hear more about Coutt’s views on the macro, Bitcoin, Ethereum, altcoins and stablecoins, tune in to the full episode of Market Talks on the new Cointelegraph Markets & Research YouTube channel. Also, don’t forget to click “Like” and “Subscribe” to keep up-to-date with all our latest content.