Dan Held Explains Why Bitcoin Supercycle Theory Is Still Valid

According to Dan Held, crypto exchange Kraken’s director of growth marketing, Bitcoin (BTC) supercycle theory that was first introduced in 2019 is still valid.

Held explains that the supercycle theory advances the idea that a perfect storm such as losing trust in governments and institutions, will feed into the mainstream adoption of Bitcoin, which feeds into the price rise of the leading digital asset.

In a recent episode of What Bitcoin Did podcast, the Kraken executive noted that the recent global events and conditions are working out well for Bitcoin.

“I think in the supercycle thesis we do have the perfect storm, an even more perfect storm than 2019. So much has happened. COVID, I think, has given us good reason to doubt our government’s capability of handling various parts of our economy and our lives, and with all the money printing that went down too. Bitcoin’s utility has never shined brighter. We also have Canada and geopolitical struggles all across the world that I think highlight exactly why Bitcoin is valuable right now.”

Events that make people lose trust in the government are occurring in a very short time frame, which is driving people to consider buying crypto assets.

“I think we’re seeing en masse a lot of people entering that awareness stage and maybe more catalyst moments or shocks in the economy or a war shakes them down into the acquisition sort of level where they start to go okay, I’ve considered it. I’m ready now, I’m ready to sign up. I’m ready to go try out Bitcoin.

It takes them entering those stages before they can start to buy Bitcoin and Bitcoin’s price starts to move up, so I think we have a large amount of people ready there and there’s a certain sort of events that I don’t know exactly what those events might be or narratives, but those could push all those people into those lower stages of the funnel and that means direct price action, the price going up.”