Crypto Market Faces Downturn but Structural Outlook Remains Intact

The crypto market has been in a downturn for several months, with Bitcoin down over 45% and Ethereum down 60%. According to Sumit Gupta, co-founder of CoinDCX, this phase appears more like consolidation within a larger cycle rather than the end of one.

Gupta attributes the current market conditions to global liquidity tightening, which has led to increased volatility. He notes that investors should focus on process and strategy rather than price movements, and emphasizes the importance of understanding what you own and why.

Regulatory clarity is key to long-term confidence in crypto, and India still needs to develop a comprehensive framework. Gupta highlights the progress made by India in regulating the sector, but notes that there is still ground to cover in building a holistic regulatory framework.