Crypto Investment Group

It’s been a rough experience for the crypto market in 2022. By November the market had dropped by 70 percent from the previous high on November 20, 2021. And just when things were getting worse, the FTX crash turned them even more dire. The question is, can the cryptocurrency market rebound in 2023?

Crypto Market Dips are Cyclical

The market for crypto, particularly Bitcoin has experienced its fair share of dips over the years. Every time, it’s bounced back by a massive rally.

For instance, in 2013, Bitcoin reached a peak of $1,160. Then it fell for a full year before hitting a low of $150. However, in 2017, it broke the record and reached a new highest of $19,600. In 2018, the price was at $3,100. In 2020, the price broke through the resistance and hit a new high of $68,000 in November 2021. And just like that, we’ve seen another dip. However, the past has proven that following each dip there’s a bull-run.

Every Dip is Followed by a Long Bull Run

Similar to what we’ve witnessed in the past, dips are usually followed by a prolonged bull run that eventually breaks through the resistance created by the previous market’s highest price. This pattern can be seen not only in Bitcoin but also in other cryptocurrency.

Growing Use of Crypto and Blockchain

Blockchain and cryptocurrency technology has made significant progress in recent years. With more and more businesses and industries embracing it, its usage and acceptance is growing. From finance to gaming, crypto is being used in many ways. This growing demand can lead to more people being involved in the crypto market which could boost prices.

Increased institutional interest in cryptocurrency

In the last few years we’ve witnessed a rising interest from institutional investors in cryptocurrency. From banks to hedge funds and even large corporations are now exploring the potential of crypto assets. The increasing interest from institutions could bring more stability to the crypto market and could lead to higher prices.

Regulations from the Government

As the crypto market is maturing and mature, governments across the globe are beginning to establish more favorable rules for crypto. This is likely to attract more investors as well as increase the adoption rate of crypto.

A broader range of blockchain applications

The underlying technology behind the majority of cryptocurrencies, blockchain is a broad range of possible applications that go beyond financial transactions. From supply chain management to voting systems, more and more industries are exploring ways they can benefit from blockchain technology, which could drive more investment and interest in crypto.

Technologies are constantly evolving.

Blockchain technology and cryptography are still in the early stages of development. As advancements continue to be made in areas such as security and scalability, the potential of crypto assets will increase. This could lead to greater acceptance and higher prices.

Uncertainty in the global economy

In the current instability in the economy caused by the COVID-19 pandemic and other factors many investors are looking for safe haven assets such as gold and crypto. As the global economic situation remains uncertain, this could lead to an increase in demand for crypto and higher prices.

Retail investors are able to earn interest

Investors from institutions aren’t the only people who are interested in cryptocurrency. Retail investors, or even individual investors, are also starting to participate in the crypto market. As more and more everyday people learn about crypto and how to invest in it This could result in an increase in demand and consequently higher prices.

A growing number of people are becoming aware of and accepting cryptocurrency

As the market for crypto continues to mature, more and more people are beginning to become aware about and appreciate the concept. As awareness and acceptance of crypto grows, this could lead to more people purchasing or holding cryptocurrency, and this could increase prices.

crypto investment group

Decentralized finance (DeFi) is an emerging area of the crypto market, which allows the provision of financial services built on top of blockchain technology. As DeFi continues to grow and more projects and platforms become available, this could result in increased use and increased prices for crypto.

Advances in crypto-based payment methods

As the crypto market continues to grow as more and more businesses are beginning using crypto to be a form of payment. This could result in increased use of crypto in everyday transactions and higher prices.

Increased investment from sovereign wealth funds

Sovereign wealth funds, which are state-owned investments, are beginning to show interest in cryptocurrency as a possible asset class. As more funds dedicate a part of their assets to digital currencies, this could increase demand and higher prices.

Utilization of crypto to make international payments

One of the major benefits of crypto is the capability to perform swift and affordable cross-border transactions. As more and more people and businesses start to utilize crypto for international transactions, it could result in increased demand and higher costs.

The number of ATMs that accept crypto is increasing.

With the amount of crypto ATM’s continue to grow it will be easier for individuals to purchase and keep crypto, which could increase demand and price.

Security tokens are developed for development

Security tokens, which are digital assets that are used to represent ownership in an asset such as stock or real estate, are a rapidly growing segment of the cryptocurrency market. Since more and more security tokens will be issued and traded, this could result in a rise in demand, and thus higher costs for cryptocurrency.

A greater adoption rate by merchants

As more and more businesses accept crypto as a form of payment, it will make it more convenient for customers to hold and use cryptocurrency, which will drive up demand and prices.

So, is crypto likely to grow in 2023? The only way to know is time. But with these factors in mind, it’s possible that the crypto market could have a rebound by 2023. If you’re in it for the long run patience and discipline is crucial.