Interstellar Crypto

It’s been a tough journey for the cryptocurrency market through 2022. As of November, the market had dipped by more than 70 percent from the previous high on November 20, 2021. When things were going downhill and down, the FTX crash made them look even more dire. The question is, can the crypto market recover in 2023?

Crypto Market Dips are Cyclical

The crypto market, especially Bitcoin, has seen its fair share of dips in the past. Every time, it’s bounced back with a big increase.

In 2013, for instance, 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 that record and hit a record highest of $19,600. Then, in 2018, and it was trading at $3,100. In 2020, the price broke through that resistance, and reached a record highest of $68,000 in November 2021. Then, just like that we’ve seen another dip. But history shows us that following each dip the bull runs.

Every Dip is Followed by a Long Bull Run

Similar to what we’ve witnessed before, fall-offs are usually followed by a lengthy bull run that eventually breaks through the resistance created by the market’s previous highest price. This is evident not only in Bitcoin but also in other cryptocurrencies.

Growing Use of Crypto and Blockchain

Blockchain and cryptocurrency technology has progressed a lot in the last few years. With more and more businesses and industries adopting the technology, its use and acceptance is growing. From gaming to finance cryptocurrency is being utilized in a myriad of ways. The growing popularity of crypto can lead to more people being involved in the crypto market and, in turn, drive the prices up.

Increased institutional interest in cryptocurrency

In the last few years, we’ve seen a growing interest from institutional investors in crypto. From hedge funds to banks, many large institutions are starting to explore the possibilities in crypto currencies. This increased interest from institutions could provide more stability to the crypto market and lead to more expensive prices.

Government regulations

As the market for crypto is maturing as it matures, governments all over the world are beginning to develop more favorable regulations for cryptocurrency. This is likely to attract more investors as well as increase the mainstream adoption of crypto.

A broader range of blockchain applications

The underlying technology behind the majority of cryptocurrencies, blockchain is a broad range of applications that go beyond the realm of financial transactions. From supply chain management to voting systems, more industries are starting to explore how they can benefit from blockchain technology. This will increase investment and enthusiasm in crypto.

Advancements in technology

Blockchain technology and cryptography are at the very beginning of development. As advances continue to be made in areas like security and scalability, the potential of crypto assets will continue to grow. This could lead to more acceptance and higher prices.

Global economic uncertainty is growing

Due to the constant economic uncertainty caused through the COVID-19 pandemic, as well as other causes, more and more investors are starting to look for safe haven investments like cryptocurrency and gold. Because the global economic climate is uncertain and uncertain, this could lead to increased demand for crypto and higher prices.

Interest from retail investors

The institutional investors aren’t alone in ones showing interest in crypto. Retail investors, also known as individual investors, are also starting to invest in the crypto market. As more and more everyday people become aware of cryptocurrency and investing in it This could result in more demand and higher prices.

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

As the crypto market is maturing as more and more people are beginning to become aware about and appreciate the concept. As the awareness and acceptance of crypto grows, it will lead to increasing numbers of people purchasing as well as holding the crypto that could increase prices.

interstellar crypto

The Decentralized Finance (DeFi) is a rapidly growing area of the crypto market, which allows financial services to be built on top of blockchain technology. As DeFi grows and more projects and platforms come online, this could result in increased use and more expensive prices for crypto.

Developments in crypto payment methods

As the crypto market grows, more and more companies are beginning to accept crypto as a form of payment. This could result in increased use of crypto in everyday transactions, and a rise in prices.

Increased investment from sovereign wealth funds

These funds are owned by the state as investments, are beginning to look at crypto as a potential asset class. As more of these funds devote a percentage or their entire portfolios to cryptocurrency, it could increase demand and more expensive prices.

Cryptocurrency is used for cross-border payments

One of the biggest benefits of crypto is its capability to perform quick and inexpensive cross-border payments. As more and more people and businesses start to utilize cryptocurrency for international transactions, this can lead to a rise in demand and higher costs.

Increasing numbers of crypto ATM’s

With the amount of ATMs for crypto increase, it will become easier for consumers to purchase and keep crypto, which could boost demand and increase prices.

The development of security tokens

Security tokens, which are digital assets that signify ownership in an asset such as stocks or real estate is a fast-growing area of the crypto market. Since more and more security tokens will be created and traded, it could lead to increased demand and higher costs for cryptocurrency.

More adoption by merchants

In the event that more businesses start accepting crypto as a means of payment, this makes it easier for customers to utilize and store crypto, which can drive up demand and prices.

So, will crypto increase in 2023? Only time will tell. However, with these aspects to consider, it’s possible that the crypto market could be able to see a rebound in 2023. For those committed to the long-term Being patient and disciplined is essential.