In a recent interview with macroeconomist and Bitcoin expert Lyn Alden, Stories podcast host Natalie Brunell discussed Bitcoin’s current market dynamics and future potential.
Alden argued that Bitcoin still presents a strong bullish picture, but added that caution should be exercised regarding short-term risks.
At the beginning of the interview, Alden touched upon the general sentiment surrounding Bitcoin, stating that long-term optimism remains despite recent market fluctuations. “Bitcoin’s all-time high (ATH) is currently only around $126,000, but this doesn’t reflect its true potential,” said Alden, adding that individual investors haven’t been sufficiently involved in this cycle. According to the analyst, the lack of individual investors is a factor preventing the market from fully recovering.
In the section discussing Bitcoin ETFs and derivatives, Alden stated that these instruments bring liquidity to the market but can also increase volatility. “ETFs and derivatives attract institutional investors but also trigger speculative activity,” he added. While noting that these instruments accelerate Bitcoin’s mainstream adoption, the expert predicted that short-term corrections may still be inevitable.
One of the most notable parts of the interview was the relationship between Bitcoin and artificial intelligence (AI). Alden described Bitcoin as “the natural currency for AI,” arguing that energy-intensive AI systems could be integrated with Bitcoin mining. “Bitcoin could be the reliable and decentralized store of value that AI needs,” Alden said, claiming that this integration could be Bitcoin’s next catalyst.
Regarding price movements, Alden stated that he expects a “gradual rise” rather than a “nuclear” or major explosion. “The market may experience capitulation, but this will not disrupt the long-term bullish scenario,” said the expert, adding that Bitcoin’s next catalyst could be institutional adoption and technological advancements. Summarizing the bullish scenario, he suggested that Bitcoin could surpass precious metals like gold as a hedge against inflation, but added that short-term caution is also needed in metals like gold.
Finally, addressing the psychology of HODLers, Alden said that market fluctuations test investors, but patience will be rewarded. “Investor psychology is critical to success; a strategic approach is important instead of panic selling,” he advised.
*This is not investment advice.
