JPMorgan analyst Josh Younger said in a new research note that the cryptocurrency market remains “healthy” despite a massive correction. He added, however, that the depth of the market had decreased after a series of liquidations. The analyst also compared the recent drop with the 2018 market crash. Details are in our news.

As it is known, Bitcoin reached $ 30,000 on May 19 and has had its worst days since the epidemic decline in March 2020.

On top of that, analyst Josh Younger made a comparison between January 2018 and the current market decline. Younger said that although the recent rise in total cryptocurrency market volume was more gradual than the 2017-2018 cycle, the decrease was somewhat similar to the 2018 crash. The speed and magnitude of the decrease is “eerily similar” to the previous cycle, he said.

He also acknowledged that there were some differences between the two cycles. This time around, the market has not seen the movement caused by the madness of ICOs. Additionally, Younger said that in this current cycle there are more institutional investors, continuous development of market infrastructure, more advantageous leverage availability and the rise of DeFi projects. He also noted that the excessive volatility in the market is mainly limited to North America.

Finally, Younger concluded that crypto was in the middle of a “pretty big correction” and said it was too early to spot the bottom. However, the flexibility of the crypto market structure creates a “positive technical ground” for improvement, according to the analyst.

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