Crypto-pro Andreessen Horowitz thinks that another bull cycle is coming, and great industry ventures will power it.
High-quality Ventures Fueling the Bull Cycle
The famed venture capital investing figure started a new cryptocurrency fund worth well over half a billion dollars. He also thinks that the influx of high-quality ventures in the crypto-branches will start another run in the industry.
VC fund announced that they believe pioneering projects will start another crypto-bull cycle, following the 2017 ICO boom. Horowiz checked out data from 2013 and 2017 and noted that bull runs start when costs go up, and that’s what brings new pioneering ideas. Those people make great firms and ventures that are beneficial to the digital currency sector.
The main characteristic of a cycle is that it plants seeds for growth later on. So good ventures bring in more fresh and innovative faces, which fuels the next run. That’s the same way how Ethereum came after the 2013 run and inspired the run led by ICOs in 2017.
The VC fund believes that multiple ventures in gaming, infrastructure, and applications will continue to get bigger and fuel the 4th run.
Big Investments in the Crypto-Area
Horowiz previously said that his firm’s Crypto Fund II went over the 450 million USD target for fundraising. So they are starting with 515 million USD and want it all invested in cryptos.
The difference now is that they will aim for particular branches in the crypto-space, like decentralized financing, next-gen payments, Web 3.
Chris Dixon, general partner and co-author of the latest blog post, says that cryptos went through lots of changes already and that each wave brings more categories and entrepreneurs.
Sure, VC firm believes the run will happen, but they do not know when. What they do know is that their next ventures will surely fuel that space and push the cycle.
The company has participated in ventures such as stable coin supplier Maker. Derivatives exchange dYdX, cloud computing platform Dfinity and cloud platform Oasis Labs.
The upcoming bull cycle in cryptos will cause Bitcoin pricing to rising and the pricing of other digital coins, seeing how the demand will shoot up.