Odaily reported that CZ discussed the current crypto market correction during an interview with Galaxy research head Alex Thorn on the Galaxy Brains podcast. According to CZ, the present pullback still falls within the normal range of the industry’s four-year cycle. He said that a decline of about 50% in this cycle is not unusual, noting that previous historical cycles have seen drawdowns of as much as 80%.
CZ framed the discussion around cycle lows rather than short-term price movements. In his view, when measured from the low point of the cycle, Bitcoin is still up roughly five times compared with four years ago. He also said that the low of each cycle has been higher than the low of the previous cycle, a point he used to describe how he looks at the market over longer time horizons.
Speaking about his own position, CZ said he continues to follow a long-term approach. He added the quote, “There is no exit for me from crypto.” The comment was made in the same context as his assessment that cyclical pullbacks have been part of the crypto market’s historical pattern.
CZ also compared the current cycle with 2018 and 2022. He said the biggest difference this time is the clear change in the U.S. government’s attitude toward the crypto industry. In his comments, the United States previously took a more suppressive stance toward the sector, while it is now actively working on building a crypto regulatory framework and encouraging other countries to follow.
In addition, CZ pointed to ETFs, stablecoins, RWA and the entry of more institutional capital as important developments in the current cycle. He said these factors show that the industry’s fundamentals have improved significantly compared with the past. For CZ, the current market retreat should still be viewed through the framework of the normal four-year crypto cycle.